Berkshire Hathaway is a brand America loves. It’s a success story the common man can rally around, with Warren Buffett cast as the star of this feel good drama. But not everything is as peachy as Berkshire Hathaway’s PR would suggest. Stansberry Research, a notable publisher of financial research feels all is not well for the investment firm.
Berkshire Hathaway is Losing its Mojo
Berkshire Hathaway’s success stems from the huge amount of capital it has access to, mostly derived from its successful insurance businesses. They invested in high-quality companies, such as Coca-Cola, American Express, and Gillette. These businesses were too big to fail, virtually guaranteed to grow. They needed little capital to succeed, allowing Berkshire Hathaway’s money to grow with little help.
Warren Buffett changed that strategy a few years back, investing in companies requiring infusions of capital to be profitable. In the short term this was feasible, but in the long term it could spell trouble for the firm. They also invested in energy companies and utilities that are struggling. This may prove costly in the long term for Berkshire Hathaway.
Research That Matters
Stansberry Research stays on top of what’s happening in the investment world, and they have scores of customers who rely on the invaluable research and information they perform and provide. They do this by providing multiple points of view, and by taking different opinions into account, they’ve become well-known for staying on top of what’s happening in the global markets.
Different strategies are recommended for different markets, and investors rely heavily on their opinions. They don’t settle on tried-and-true assets exclusively, often investigating unloved or ignored markets and brands. It’s all about making wise and informed choices, and Stansberry Research is a market leader in investment publishing.