Warren Buffett hunters to make large financial stocks 36%

According to the Singapore unspecified reported that well-known investors, "Warren" Buffett take advantage of the increased low-cost loan business is not involved in times of deep financial sector's decision to let him make big in the third quarter by 36%. As of the end of Sept., Buffett's investment company - Berkshire Hathaway shares of the financial year earned an average of 2.3 percent on a quarterly basis. During the same period S & P 500 index of financial stocks fell an average of 11.4 percent on a quarterly basis, this year has lost 60 percent to 17-year low. Last quarter, Berkshire Hathaway investment in US Bancorp and Wells Fargo, led by shares in order to avoid those sub-loan-ridden financial sector. According to Bloomberg statistics, as of the end of Sept, Berkshire Hathaway is a rich and US Bancorp's largest shareholder. Mairs & Power Investment Company president William Friels Commenting on the performance of Buffett, said that Buffett is a simple and very patiently, when most of the players lost, he has the ability to continue to wait for the opportunity to When it comes. As the chairman of Berkshire Hathaway, Buffett, now 78-year-old company plans to invest most of the decision-makers. But from Sept. 30, Berkshire Hathaway held by financial shares have fallen by 32% (not included in the Goldman Sachs investment of 5,000,000,000 U.S. dollars), so Buffett's investment profits shrink. During the same period S & P 500 index of financial shares fell 41%.

Buffett: The economy is incurable

Buffett said that "now is a very difficult period. Economy is incurable." "God Unit" of the 21 Warren Buffett said that there is no panacea to save the current economic crisis. Buffett in an interview, asked about U.S. Treasury Secretary Paulson's performance when he said. He said: "It is a very difficult period. Economy is incurable. Alone can not be a good idea or a few will be able to immediately reverse the economic and market conditions. We are in a negative feedback cycle, and will continue For a period of time. " Paulson said the recent financial institutions to direct capital injection will become a "non-performing assets rescue plan," the work of the center, Buffett said, than the initial purchase of non-performing assets of banks plan to the bank to inject funds to "every flower U.S. may be farther away. " Buffett also said that even though he would not be invited to became U.S. Secretary of the Treasury. He joked, "I like to work now," he said, adding that so far he has not yet received the invitation.

Buffett will collapse

Buffett's Berkshire Hathaway company's stock has fallen to 81,240 U.S. dollars / share, compared with December last year, has lost nearly half; investment by Buffett and the substantial depreciation of financial assets; on behalf of the company's credit market Berkshire's attitude towards the risk of CDS (credit default swap) has become a premium grade BBB, from junk bonds only one step away. What is the market share of the gods become so no confidence? Buffett is to ensure that sold 10 years later, the world's stock 4 refers to the current level higher than that of the insurance? This contract is Buffett has been referred to as "financial weapons of mass destruction," the financial derivatives contracts. Some industry experts said that Berkshire's insurance premiums have gone up that the CDS market's worried about lack of liquidity, not enough to cover the contract for the payment of compensation; more extreme on the assumption that the company has the financial assets shrink as a serious economic crisis, resulting in capital No debt, was forced liquidation. 25-year deal with the practice of the investment strategy of the United States Department of Investment Co., Ltd., Shanghai Xin Lion Asset Management Limited Michael Wu in the "Daily Economic News," said Buffett's crisis from his market value drop The judge, but he did not experience the 1929 stock market crash, and his master Graeme was in the stock market crash, the assets were swept away. "Since 1965, Buffett started to invest in value stocks in the 50-year Nan Yu in the overall economic decline can not be spared, particularly in financial and consumer goods industries, such as American Express, Coca-Cola and Wells Fargo." TD Asset Management Canada Vice President Wu Yanan said. Buffett's long-term research experts, health researcher Liu Tianfu fund-told reporters that the operation of Buffett's insurance business has been very strong, but in 2001 the "9.11" incident took place beyond his expectations. His company as a result of "9.11" suffered the most serious since the founding of the loss. Berkshire's balance sheet rate of 57.4 percent. If Buffett to the underestimation of the financial crisis, leading to its holdings of financial assets shrink dramatically, while the financial assets of the insurance costs rise dramatically, Berkshire is not without risk. Buffett is not J.P. Morgan October 17 this year, Buffett has always been low-key in "The New York Times," the author said that although the U.S. economy is "bad", but he is buying U.S. stocks. Buffett's move reminiscent of 100 years ago, JP Morgan. At that time, the Central Bank of the United States does not, then trust the financial institution into a credit crisis, triggered the financial chaos the country. October 23, 1907, nearly 70-year-old JP Morgan issued a famous declaration: "It is time to stop this disaster has." After two weeks, Morgan assumed the role of central banks, own capital (in just 20 Minutes, out of 20,000,000 U.S. dollars in cash), while the financial sector to convene a joint solution to the prevailing crisis of confidence and liquidity to help the U.S. out of the woods. Speculation that the 78-year-old Buffett JP Morgan would like to repeat the feat, by virtue of their prestige and ability to turn the tide. But Buffett has the ability to do it? Liu said the position, Morgan was one of the United States has a one-tenth of the wealth, while Buffett's personal wealth was less than the wealth of today's U.S. 1 / 200. Mike Wu said: "Morgan era, socio-economic scale was not large, the market in its early development, but also a successful Morgan's a certain degree of control over the market, and today, Buffett does not have the ability." Berkshire currently sufficient cash However, most of the professionals as well as Buffett's Berkshire still full of confidence. "Buffett's Berkshire Hathaway owned by 80 companies in different areas, from car insurance, carpets, clothing, kitchen supplies such as food, there is sufficient capacity to spread the risk." Wu Yanan说. For the current problems faced by Berkshire, Liu place that is not what this crisis, Buffett's investment company, such as Goldman Sachs is the preferred shares, these companies fell, he would not be a loss. Berkshire's latest Quarterly Bulletin shows that the company has a cash 27,900,000,000 U.S. dollars, the total assets of 280,000,000,000 U.S. dollars, liquidity is adequate to deal with the current situation there is no problem.

Buffett to buy Goldman Sachs fitted into three more

As the company's profit is expected to dim and the United States, the Ministry of Finance to adjust the rescue package, the confidence of investors once again suffered heavy losses, the New York stock market plunged across the board on the 12th, Standard & Poor's index hit 12 times this year, a record closing low. On the same day, first of all investors disappointed that the largest U.S. consumer electronics retailer Best Buy announced a downward adjustment of performance expected next year. With its major competitors, "Circuit City" this week announced that a bankruptcy filing, Best Buy said the company faced unprecedented in the history of difficulties due to the consumption of a serious recession next year's performance is difficult to meet investor expectations. American's oldest department store Macy's third-quarter loss of 44,000,000 U.S. dollars to investors worried that the United States into a recession far more than the expected range. Pull the U.S. economy as the major driving force for personal consumption in the United States economy had a share of more than two-thirds, while investors expected the U.S. economy will be accompanied by the financial crisis in the spread of decline, but a series of data on consumer spending is shrinking at an alarming rate . One trader told the reporter that most of the companies now are expected to reduce next year's earnings, the stock market as a whole is in the process of re-pricing, no one knows where the market would fall, leading investors to buy shares for the lack of confidence in the market Only by constantly adjusted downwards. U.S. Treasury Secretary Paulson's speech on the same day so that the market has lost direction. Paulson explained at 700,000,000,000 U.S. dollars financial assistance program, said after the latest developments in the current climate, the Government will cease to acquire non-performing assets of the banking sector, including aid to education, housing, and other non-bank financial sector, consumer tilt. "The U.S. government's lack of rescue system, Paulson's speech but also puzzled by the market," said one Wall Street fund managers said, "whether financial institutions are more serious problems, whether or not to give up to buy non-performing assets of financial institutions will New faces, new programs without any details of the rescue. The Government plans to adjust the one hand, the United States economy, more and more problems, and also shows that the Government does not have a clear idea and effective way, so this market at a loss. " After his speech, Paulson, Goldman Sachs, Morgan Stanley, and other financial shares diving. "God stocks," Buffett at 100 U.S. dollars on the purchase of shares of Goldman Sachs Group, now down to under 70 U.S. dollars. In the New York Stock Exchange, traders have often said that such a word, in the market from bad to good Prior was often make it more, which in the past two months has come true. At present, the Dow Jones index has returned 10 years ago. With the gradual deterioration of investor confidence in the near future, the market "or a" low probability of getting higher and higher.

Buffett company's fourth profit amounted to a sharp fall in net profit down 77%

As a result of hurricane damage insurance business in return for investment Fukui, billionaire Warren Buffett's Berkshire Hathaway Inc. storms out of the fourth profit dropped more than 10 years this is the biggest quarterly decline. Berkshire said last Friday that third quarter net income fell 77 percent to 10.6 billion U.S. dollars, a year ago, 45.5 million; earnings per share from 2942 yuan a year ago, fell to 682 yuan. By a further decline in the market impact of the rights and interests of the shareholders in October to reduce about 90 million. In Berkshire's insurance business and real estate-related businesses affected by the crisis dragged down significantly, the 78-year-old Buffett is still in the bubble to look for opportunities to invest in nuclear energy, Wall Street and chewing gum. He is investing at least 28,000,000,000 U.S. dollars to purchase, purchase prices of those securities, in the purchase of the financial difficulties of competitors. Berkshire's stock price over the past 20 years, 17 years on the rise this year as a result of shares owned by the investment slump and a decline of 20%. American Express dropped 51 percent this year, Coca-Cola fell 25%.