Warren Buffett's Successor, Greg Abel, Put Nearly $35 Billion of Cash to Work Last Quarter. Here's What He Bought.
Buffett hardly saw any opportunities for Berkshire Hathaway last year. How is Abel finding them today?
Overview
One thing that characterized Warren Buffett's last few years as CEO of Berkshire Hathaway (NYSE: BRKA) (NYSE: BRKB) was the massive pile of cash he accumulated on the company's balance sheet. Berkshire Hathaway is home to dozens of businesses that generate significant free cash flow every quarter.
On top of that, Buffett became a net seller of stocks from Berkshire's equity portfolio for the last 13 quarters of his tenure. He even paused share repurchases for the last year and a half of his time as CEO.
Details
As a result, he handed over the reins of Berkshire Hathaway to Greg Abel with about $369 billion in investable cash and equivalents available to invest. Abel, known as more of an operator than a capital allocator, has gotten to work. After making several significant purchases in the first quarter, he deployed about $35 billion of cash for Berkshire Hathaway investors in the second quarter.
Source
Originally published at www.fool.com.
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