Warren Buffett s cash reserves are 146.6 billion, how did he do it?

Affected by the U.S. stock market, the company's profit in the second quarter increased significantly. It is related to the previous ** action. The scale of buybacks reached a new high

1. Affected by the U.S. stock market, the company's profit in the second quarter increased by <>

Since bottoming out in the U.S. at the end of March, several Berkshire have performed well. Among them, Apple grew by 44% in the second quarter, and the total market value of its holdings rose to $91.5 billion in the second quarter, with a variable profit of $27.7 billion. In the same period, Amazon ranked 36, ranked first in the banking industry, and JPMorgan Chase ranked 27.

However, Berkshire spent nearly $13 billion in the last quarter, mostly on airlines, which was also the biggest drop in Buffett's holdings in more than a decade.

Second, it is related to the previous ** action <>

Buffett's cash holdings soared to an all-time high of $146 billion at the end of June. This is related to the previous reduction. Investors recently learned that Berkshire's trading activity is becoming more active.

It has continued to increase its holdings in recent weeks after reaching a preliminary agreement in July to acquire gas transmission and storage assets for $10 billion. Bank of America, which holds approximately $2.1 billion**.

Second, the scale of repurchase reached a new high <>

Berkshire repurchased more than $4.6 billion in Class B** and approximately $100 million in Class A** in the second quarter. The buyback is the highest number of buybacks in the group's nearly one-quarter of Buffett's history in 2019. It doubled in the fourth quarter to $2.2 billion, equivalent to the annual redemption spend in 2019.

Buffett said that in terms of buybacks, he expects Berkshire Hathaway's ** volume to decrease over time. If the discount between the share price and its intrinsic value widens, redemptions will become more active, but this is to support the share price. Buffett said at a shareholder meeting in early May that buybacks were not as attractive as before, but recent data has changed his mind.

Warren Buffett's company's cash reserves of $146.6 billion are not only due to her alone, but also to the elite talents under her command to support him.

Berkshire's cash reserves hit an all-time high: [Warren Buffett's cash reserves reached a record high of $146.6 billion] Berkshire Hathaway's operating income in the second quarter was 100 million US dollars, compared with 100 million US dollars in the same period last year. Q2 EPS was $16,314.

Cash reserves rose to an all-time high of $146.6 billion.

The above is Berkshire Hathaway's cash reserves**.

Warren Buffett has always been known as a world-class investment guru. In this situation this year, Buffett's operation has become a bellwether for many people's investment, but we can see that this year has not been an easy year for Warren Buffett either.

Warren Buffett's cash reserves reached $146.6 billion. Reason: Berkshire Hathaway spent approximately $5.1 billion on buybacks** in the second quarter, with a cumulative buyback size of $6.7 billion over six months.

According to the financial report, Berkshire Hathaway's cash reserves reached a record high of $146.6 billion.

In terms of investment, as of the second quarter of 2020, 71% of Burshire Hathaway's investments were concentrated in four companies. These include $91.5 billion for Apple**, $22.6 billion for Bank of America**, $17.9 billion for Coca-Cola** and $14.4 billion for American Express**. Compared to the first quarter, the company held about $63.8 billion in Apple** in the first quarter, compared to about 44% of Apple's stock price in the second quarter.

Therefore, the high probability of an increase in the value of the holdings is due to the Apple share price**, which is a 1-for-4 split. In May and June this year, the company said it repurchased $5.1 billion worth of **, more than $4.6 billion worth of B shares and about $100 million worth of A shares.

In this year, when the epidemic is rampant, many fixed assets have been assessed for impairment. Now the world situation is unstable and changing rapidly, and holding a large amount of cash can only wait for the opportunity to move, which I agree with the old man's doing.

The company continues to attract more consumers and continues to expand its market size, allowing it to reach new heights. Warren Buffett is one of the big companies, and the fact that this company is in a dominant position, that it can dominate the market, and that it can be a partner with many companies, is really very powerful.

Not everyone can succeed, and Warren Buffett's success depends not only on objective reasons, but more importantly, on his hard work and excellence. The company managed by Warren Buffett can indeed become one of the world's top 500 companies, and it can also continue to innovate and develop. How did Warren Buffett's company do it with a record amount of cash?

I think that's what the company did:

1. Continuously improve competitiveness.

The reason why this company has been able to break records is because it is really able to focus on competitiveness and is able to continuously improve competitiveness in the market. In the process of operation and development, this company can indeed defeat more competitors and occupy the commanding heights of the market, so as to attract more consumers and have more customers. <>

2. Continuously expand the scale of operation.

Warren Buffett has also been able to do this because the company has been able to continue to expand and further increase its visibility and influence. This company not only has strong financial strength, but also can continue to broaden the channels of investment, and can benefit a lot in the process of investment, so it can provide funds for the development of the company. <>

3. Continuous innovation and development.

Warren Buffett is also able to innovate and gain a foothold in the market. Innovation is the basic ability that a company should have, and it is also the source of the company's development. If the company can continue to innovate, then it will be able to achieve more long-term development.

That's my analysis.

Because he is an economically minded person, the value of his economic gains is particularly high, and he can seize time and fate, so the value of personal gains is particularly high, and the value of personal gains is also relatively high.

He has always been a very capable person, can grasp people's ideas, can control very well, can invest well in **, and achieve success.

Through continuous adjustment, we have understood the situation in the market, mastered the development of the company, and finally had such an achievement.

I think he did it on his own, because Warren Buffett is a very good company, so I admire him.

Warren Buffett's cash reservesamounting to $146.6 billion

On the evening of August 8, Beijing time, Berkshire Hathaway, a company owned by Warren Buffett, announced its second-quarter earnings report, with a profit increase of 86%. According to the financial report, Berkshire Hathaway's net profit in the second quarter was $26.3 billion, equivalent to $16,314 per Class A share; This compares to $14.1 billion, or $8,608 per Class A share, in the year-ago quarter.

Berkshire Hathaway spent approximately $5.1 billion on buybacks** in the second quarter, for a total of $6.7 billion over six months. According to the financial report, Berkshire Hathaway's cash reserves reached $146.6 billion, another record high.

In terms of investment, as of the second quarter of 2020, 71% of Burshire Hathaway's investments were concentrated in four companies, including $91.5 billion Apple**, $22.6 billion Bank of America**, $17.9 billion Coca-Cola**, and $14.4 billion American Express**.

He took so much money in order to better grasp the financial development of the world, and at the same time, it was also for his own living needs.

It may be that he is not optimistic about the recent capital market and is cautious about investment, or it may be that his cash holding is a temporary phenomenon to prepare for the next investment.

Because Warren Buffett needs to have extremely rich cash reserves to invest, it is impossible for the company he established to put all the funds into the investment transactions, and it needs to have a large amount of cash to increase positions and other operations.

It may have its own concerns. Because he took out the cash, it may be because he is afraid that he will be surprised, and he may have to invest in other industries.

Because Buffett feels that it is really safe to keep money in his own hands, so he wants to take so much cash.

Warren Buffett's positioning of the market is very precise, and at present, the international community, especially the United States, is affected by the new crown pneumonia epidemic, and the economy continues to decline, and it is difficult to recover in a short time. Such reserves mean that the US economy is severely affected.

Economic crisis. Because Warren Buffett is very sensitive to economic trends, he may have a premonition that there may be an economic crisis, so he began to liquidate his assets.

This phenomenon means that Warren Buffett is not optimistic about the future for a period of time, and chooses to liquidate assets to stop losses.

Not too much

Warren Buffett was born in 1930. He is a master's degree in economics in the United States. On April 7, 2020, Warren Buffett ranked 4th on the "2020 Forbes Global Billionaires List" with a wealth of $67.5 billion.

Nicknamed the Stock God, he studied at the University of Pennsylvania as an undergraduate, and his teacher named Benjamin Graham imparted a wealth of knowledge and experience to him.

I took a look at Warren Buffett's life anyway. He has been buying ** since he was 11 years old. Anyway, the whole life is really more and more, and I make money like a snowball, I can't imagine it, my God. I can't even think about those numbers.

But in fact, what kind of stock gods, what kind of down payment? We ordinary people live too far away. I still want to use Warren Buffett to discuss with you, the knowledge that we ordinary people can really use! It is a simple introduction to a little bit of economic principles and investment.

But first, a word of advice. If you don't have a very good understanding of the investment market. It's also that you don't have friends and relatives who are very big gods in the investment market.

I advise you that it is still better not to spend your money on investments. Because of the quantity, blind investment will only be cut off as a leek. How much do you invest, how much do you lose?

I think it's a field you're not good at, don't step into it easily.

This industry is really good, and the college says you want to buy **. I suggest you learn the basics of investment, finance, and learning. Then read four or five copies.

I chose Rabble. "Teach you to read financial reports by hand" and "The simplest thing in investment". and "The Smart Investor," written by Warren Buffett's teacher Benjamin.

A book on investment that is highly rated. Then don't stare at that ** plate every day after really buying**, it's especially easy to feel your own mood, or you should learn more financial knowledge.

As the ancestor of value investing, Warren Buffett's long-term holdings, stable returns, and deep understanding of the root of value are the secrets of his investment.

Insurance and other consumer goods are closely related to people's livelihoods, which is the focus of his attention, and many people have learned a lot from his strategy.

In Warren Buffett's investment career, making fewer mistakes and holding for a long time is the core of his investment.

Berkshire Hathaway is a Warren Buffett company and has many branches. GEICO is the sixth largest auto insurer in the United States, and Generalre is one of the world's top four reinsurers.

According to Berkshire Hathaway, according to the second quarter financial report, the company's cash reserves in the second quarter reached 146.6 billion US dollars (about 1,021.3 billion yuan), a record high.

In the second quarter, Buffett made a lot of money from Apple, but in the second quarter, Berkshire Hathaway was still in the red, dragged down by other losses such as oil and energy.

For Warren Buffett, the more cash he has, the less optimistic he is about the market outlook. The U.S. ** market is caught in the "deep pit" of the epidemic, which naturally cannot attract Buffett's desire to buy. This aspect also shows that Buffett is not optimistic about the market prospects, which is worth paying attention to by investors.

Now that the world is unstable due to the pandemic, it is also worth learning from investors that holding cash can only invest flexibly.

Against the backdrop of the United States breaking its record, Berkshire Hathaway did not buy fixed assets on a large scale, but chose Apple. In the second quarter alone, Berkshire Hathaway raised about $5.1 billion.

UBS AG believes that Berkshire Hathaway will continue to buy on a large scale in the future.

As mentioned above, although Buffett did not explain the market risk, his cash holdings have been high, which is an obvious point. The market should be wary of this.

Warren Buffett holds more than $100 billion in funds, which may actually be a reflection of his withdrawal of resources. But that doesn't prove that he's not bullish on the market. Maybe it's just his personal decision, and it doesn't affect his view of the market.