The so-called Woodstock of Capitalism has begun.
Thousands more are likely to tune in via Yahoo Finance, which is livestreaming the festivities.
Berkshire Vice Chairman Charlie Munger added that he thinks neither political party “can think rationally” about healthcare because they “hate each other so much”. That time might be nine years away, and if that’s the case, “there’s no way I can come back to you three years from now” if Berkshire’s cash pile is at $150 billion, and “tell you that’s a good move”.
“The moment the CEO heard about it he had to act”. Buffett had Jack Bogle, founder of investment company The Vanguard Group, stand up and wave to the crowd.
Buffett also said that Wells Fargo’s leaders may have been bamboozled by the billions of dollars in fines incurred by Wall Street since the financial crisis, so that the relatively smaller fine that was initially levied did not raise alarm bells.
Buffett also talked about artificial intelligence.
He even brought a Cherry Coke onstage with him, while Munger toted a Diet Coke. He offered thoughts and insights on everything from Republicans voting to repeal Obamacare, to the Wells Fargo scandal, to how artificial intelligence and technology might reshape America. It’s the company’s largest holding.
“The main problem was they didn’t act when they learned about it”.
Among the bank’s many mistakes, “there was one that dwarfs all the others”, Buffett said.
“It turned out that it incentivized the wrong kind of behavior”, he said.
Dozens of companies Berkshire owns set up booths in an adjoining 200,000-square-foot exhibit hall to sell their products and take questions about their businesses.
Intruder asked what Buffett’s charitable donations of Berkshire stock will mean for Berkshire’s ownership: “When are Buffett and Munger retiring and what is the succession plan given that all of Warren’s investment in A shares will be inherited by the Bill and Melinda Gates foundation?” this reader asked.
Buffett did lavish much praise on top insurance executive Ajit Jain, who some investors believe could be that successor. Buffett’s company ethics line is actively used by workers, he says, so he’s sure that Wells Fargo got reports of wrongdoing.
Buffett told Berkshire Hathaway shareholders Saturday that the bank should have done more to correct the problem once it was discovered.
On 3G, with which Berkshire controls Kraft Heinz Co and tried to merge it with Unilever NV, Buffett acknowledged a dislike for the cost-cutting for which the Brazilian firm is known. A cut to 15 percent could boost book value by $36 billion, he said.