A decision by the tycoon suggests that he is preparing for forecasts of a slowdown in the US economy.
Berkshire Hathawaythe company whose CEO is Warren Buffettpresented before the Securities and Exchange Commission of USA a mandatory report in which he had to present the portfolio detailsof the participations that operate with shares valued at more than US$100 million.
From there, some important data emerged to take into account regarding the economy and what bets the Oracle of Omaha and his company are making. On the one hand, the unwavering confidence in Manzanawhich maintains its position as an undisputed leader and constitutes a 50% of the portfolio.
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On the other hand, it emerged from the report that the company established a new cash holding recordaround the US$157.2 billionwhich means a notable increase with respect to US$147.4 billion of the previous quarter.
Record cash holdings suggest Buffett is preparing for possible market opportunities before the forecasts of a slowdownor even recessionof the American economy.
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Another issue is identifying how that level of cash holdings was achieved. They basically come from Capital gainsmostly dividendsand of the reduction of some positions.
In the last quarter Berkshire Hathaway HE divested US$5 billionwhich add up to a total US$44,000 million that arose in the same way in the last 12 months. Among the stocks that the company no longer considered promising were General Motors Company, Procter & Gamble Company, Johnson & Johnson, H.P. and amazon.
The most significant movements were observed in Chevron Corpwith a -10.45% adjustment. They also highlighted the complete sales of Activision Blizzard and General Motors. As for the incomehighlight the symbolic purchases of Liberty Media Formula One Corp A, Holdings Inc and Sirius XM Holding Inc.
Source: Ambito
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