The Worst Investment of the Greatest Investor in the World
Warren Buffett is arguably the greatest investor in history. He is consistently ranked among the richest, the most influential, and the most successful people in the world. His most famous stock is the Berkshire Hathaway of which he has the biggest share. Besides that, Buffett owns various stocks on different distinguished companies.
So what can the investor’s greatest blunder be? You’ll be surprised to know.
According to Warren Buffett, the worst investment he has ever made is Berkshire Hathaway. That’s right. His biggest investment is also apparently his worst.
Buffett’s initial encounter with Berkshire Hathaway was in his early days. He had discovered a trading pattern that opened an opportunity for regular profit. He created a trading strategy to take advantage of this trading pattern and bought and sold Berkshire shares. At one point, Berkshire Hathaway made a tender offer to buy Buffett’s stocks. Buffett agreed but when he received the actual offer, the price was one-eighth of a point lower than what was initially discussed. Buffett was insulted. To get revenge, Buffett bought Berkshire Hathaway and fired Seabury Stanton, the owner of the conglomerate that he is running now.
Because Buffett bought the company out of spite, he estimated a $200 billion loss for what was supposed to be investments on insurance companies. Despite this revelation, it still appears that Warren Buffett and his worst investment are doing pretty great.
No have comment