novel perspective.

have often wondered if people (like howard marks) are using a superior measure of risk, why dont they have the guts to present those risk-weighted returns in quarterly reports?

there will always be critics (e.g., look no further than oaktree's owner, brookfield that presents its internal measure of valuation).

but its time for something new here from the elites, rather than berkshire implying they never invest in anything with permanent risk of impairment and thus their risk is zero. (are we still waiting on the pcp acquisition? alibaba?)

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Feb 21Author

Did Berkshire buy Alibaba? I thought that was Munger. Mungers returns have been quite mediocre in the last 1-2 decades of his life considering he concentrated quite a bit and used leverage.

I think Berkshire had some major permanent impairments, airlines and Dexter shoes being two notable ones.

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not sure BH bought BABA, but warren trended all the way to munger's GARP vs value bent.

regardless, i am surprised how many BH equity buys soon became sells...estimating +90%. has done much better with complete ownership, but pcp probably was the biggest permanent loss of capital in that bucket.

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