And what?...
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i thought you 2 were buffett experts lol sr doesnt know buffetts secret sause and vn doesnt know how to look at buffetts early yrs porfolio and work it out. now i must provide a link to prove it ... jeepers
i even gave you heaps of clues to his sauce and you still missed it.
the secret sauce
The Secret SauceIn August 1994 – yes, 1994 – Berkshire completed its seven-year purchase of the 400million shares of Coca-Cola we now own. The total cost was $1.3 billion – then a very meaningfulsum at Berkshire.The cash dividend we received from Coke in 1994 was $75 million. By 2022, the dividendhad increased to $704 million. Growth occurred every year, just as certain as birthdays. All Charlieand I were required to do was cash Coke’s quarterly dividend checks. We expect that those checksare highly likely to grow.4American Express is much the same story. Berkshire’s purchases of Amex were essentiallycompleted in 1995 and, coincidentally, also cost $1.3 billion. Annual dividends received from thisinvestment have grown from $41 million to $302 million. Those checks, too, seem highly likelyto increase.These dividend gains, though pleasing, are far from spectacular. But they bring with themimportant gains in stock prices. At yearend, our Coke investment was valued at $25 billion whileAmex was recorded at $22 billion. Each holding now accounts for roughly 5% of Berkshire’s networth, akin to its weighting long ago.Assume, for a moment, I had made a similarly-sized investment mistake in the 1990s, onethat flat-lined and simply retained its $1.3 billion value in 2022. (An example would be ahigh-grade 30-year bond.) That disappointing investment would now represent an insignificant0.3% of Berkshire’s net worth and would be delivering to us an unchanged $80 million or so ofannual income.The lesson for investors: The weeds wither away in significance as the flowers bloom.Over time, it takes just a few winners to work wonders. And, yes, it helps to start early and liveinto your 90s as well.
notice buffettt even mentions stock gains
this from buffett too
The GAAP earnings are 100% misleading when viewed quarterly or even annually. Capitalgains, to be sure, have been hugely important to Berkshire over past decades, and we expect themto be meaningfully positive in future decades