Latest news with #ofOmaha
Yahoo
22-05-2025
- Business
- Yahoo
Warren Buffett says tariffs akin to US gloating to rest of the world — and that ‘trade should not be a weapon'
President Donald Trump's trade war and the rise of protectionist policies have stoked fears that global commerce is now a zero-sum contest, and legendary investor Warren Buffett is concerned about where we're headed. Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 5 of the easiest ways you can catch up (and fast) Nervous about the stock market in 2025? Find out how you can access this $1B private real estate fund (with as little as $10) "Trade can be an act of war," the 94-year-old CEO of Berkshire Hathaway told shareholders at his company's recent annual meeting. 'In the U.S. we should be looking to trade with the rest of the world … We want a prosperous world.' He went on to say that it's a 'big mistake' when you have 300 million people 'crowing in some way about how well they've done.' 'Eight countries have nuclear weapons, including a few that I would call quite unstable. I do not think it's a great idea to try and design a world where a few countries say 'Hahaha, we've won' and other countries are envious … trade should not be a weapon.' The eight countries besides the U.S. that possess nuclear weapons are Russia, France, China, the U.K, Pakistan, India, Israel, and North Korea. The Oracle of Omaha insists that balanced trade is a positive for the world and richer trading partners could actually be beneficial to the U.S. "The more prosperous the rest of the world becomes it won't be at our expense,' he said. 'The safer we'll feel and your children will feel someday." Buffett's thesis may have already been validated in a small way as the S&P 500 jumped 3.26% a day after the U.S.-China agreement to temporarily slash tariffs was announced. While the trade war seems to be simmering down, it isn't officially over yet and investors should take serious steps to protect their portfolios from further volatility ahead. Here are three ways to protect your wealth in an increasingly fractured world. Spooked by the volatility and random tariff policy, many investors have retreated to traditional safe havens such as gold to protect themselves. As a consequence, gold could be considered one of the few winners of the ongoing trade war. Each ounce of the precious yellow metal now trades at $3,310.26, which is 36% higher than the same time last year. By comparison, the S&P 500 is up just 11% over the same period. If you're worried about the future of the global economy, adding some exposure to gold could be a good idea. Buffett's preferred method of protection is diversification. Berkshire Hathaway's portfolio is incredibly well-diversified, which has previously helped the company sail through periods of intense turmoil. As of 2025, the company owns a vast portfolio of private businesses, 36 publicly traded stocks, and roughly $348 billion in cash. Buffett has added exposure to Japanese trading houses by buying stakes in Itochu, Marubeni, Mitsubishi, Mitsui and Sumitomo. Read more: You're probably already overpaying for this 1 'must-have' expense — and thanks to Trump's tariffs, your monthly bill could soar even higher. Here's how 2 minutes can protect your wallet right now Consider a broad mix of asset classes, sectors, industries and even countries to mitigate the risk of a volatile S&P 500 within your portfolio. Vanguard recommends having 20% of your portfolio invested in international stocks and bonds. You can do this with mutual funds or ETFs. Be careful of over diversification. "Holding excessive investments may lead to overlapping exposures, where similar assets reduce overall diversification benefits. Additionally, managing an overly diversified portfolio increases costs and complexity without proportionally lowering risks or improving returns," says Saxo Bank. Surging yields in recent years may have added some excitement to relatively boring assets such as treasuries and bonds. A 10-year U.S. Treasury bond currently offers an attractive yield of 4.5% and the 30-year rate is above 5%. According to The Wall Street Journal, some reasons for this surge are fading recession fears, persistent inflation anxiety and growing fiscal concerns. For risk-averse retirees who rely on their assets to support their lifestyle, earning a fixed 3% or 4% yield isn't ideal but it's better than losing money in the stock market. A popular rule of thumb says to subtract your age from 110 to determine how much of your portfolio should be in equities. If you are worried about volatility and want to protect your wealth rather than expand it, adding fixed income to your portfolio could be something to consider. Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan 'works every single time' to kill debt, get rich in America — and that 'anyone' can do it Rich, young Americans are ditching the stormy stock market — here are the alternative assets they're banking on instead Robert Kiyosaki warns of a 'Greater Depression' coming to the US — with millions of Americans going poor. But he says these 2 'easy-money' assets will bring in 'great wealth'. How to get in now Here are 5 'must have' items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you? This article provides information only and should not be construed as advice. It is provided without warranty of any kind. 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Yahoo
22-05-2025
- Business
- Yahoo
Warren Buffett says tariffs akin to US gloating to rest of the world — and that ‘trade should not be a weapon'
President Donald Trump's trade war and the rise of protectionist policies have stoked fears that global commerce is now a zero-sum contest, and legendary investor Warren Buffett is concerned about where we're headed. Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 5 of the easiest ways you can catch up (and fast) Nervous about the stock market in 2025? Find out how you can access this $1B private real estate fund (with as little as $10) "Trade can be an act of war," the 94-year-old CEO of Berkshire Hathaway told shareholders at his company's recent annual meeting. 'In the U.S. we should be looking to trade with the rest of the world … We want a prosperous world.' He went on to say that it's a 'big mistake' when you have 300 million people 'crowing in some way about how well they've done.' 'Eight countries have nuclear weapons, including a few that I would call quite unstable. I do not think it's a great idea to try and design a world where a few countries say 'Hahaha, we've won' and other countries are envious … trade should not be a weapon.' The eight countries besides the U.S. that possess nuclear weapons are Russia, France, China, the U.K, Pakistan, India, Israel, and North Korea. The Oracle of Omaha insists that balanced trade is a positive for the world and richer trading partners could actually be beneficial to the U.S. "The more prosperous the rest of the world becomes it won't be at our expense,' he said. 'The safer we'll feel and your children will feel someday." Buffett's thesis may have already been validated in a small way as the S&P 500 jumped 3.26% a day after the U.S.-China agreement to temporarily slash tariffs was announced. While the trade war seems to be simmering down, it isn't officially over yet and investors should take serious steps to protect their portfolios from further volatility ahead. Here are three ways to protect your wealth in an increasingly fractured world. Spooked by the volatility and random tariff policy, many investors have retreated to traditional safe havens such as gold to protect themselves. As a consequence, gold could be considered one of the few winners of the ongoing trade war. Each ounce of the precious yellow metal now trades at $3,310.26, which is 36% higher than the same time last year. By comparison, the S&P 500 is up just 11% over the same period. If you're worried about the future of the global economy, adding some exposure to gold could be a good idea. Buffett's preferred method of protection is diversification. Berkshire Hathaway's portfolio is incredibly well-diversified, which has previously helped the company sail through periods of intense turmoil. As of 2025, the company owns a vast portfolio of private businesses, 36 publicly traded stocks, and roughly $348 billion in cash. Buffett has added exposure to Japanese trading houses by buying stakes in Itochu, Marubeni, Mitsubishi, Mitsui and Sumitomo. Read more: You're probably already overpaying for this 1 'must-have' expense — and thanks to Trump's tariffs, your monthly bill could soar even higher. Here's how 2 minutes can protect your wallet right now Consider a broad mix of asset classes, sectors, industries and even countries to mitigate the risk of a volatile S&P 500 within your portfolio. Vanguard recommends having 20% of your portfolio invested in international stocks and bonds. You can do this with mutual funds or ETFs. Be careful of over diversification. "Holding excessive investments may lead to overlapping exposures, where similar assets reduce overall diversification benefits. Additionally, managing an overly diversified portfolio increases costs and complexity without proportionally lowering risks or improving returns," says Saxo Bank. Surging yields in recent years may have added some excitement to relatively boring assets such as treasuries and bonds. A 10-year U.S. Treasury bond currently offers an attractive yield of 4.5% and the 30-year rate is above 5%. According to The Wall Street Journal, some reasons for this surge are fading recession fears, persistent inflation anxiety and growing fiscal concerns. For risk-averse retirees who rely on their assets to support their lifestyle, earning a fixed 3% or 4% yield isn't ideal but it's better than losing money in the stock market. A popular rule of thumb says to subtract your age from 110 to determine how much of your portfolio should be in equities. If you are worried about volatility and want to protect your wealth rather than expand it, adding fixed income to your portfolio could be something to consider. Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan 'works every single time' to kill debt, get rich in America — and that 'anyone' can do it Rich, young Americans are ditching the stormy stock market — here are the alternative assets they're banking on instead Robert Kiyosaki warns of a 'Greater Depression' coming to the US — with millions of Americans going poor. But he says these 2 'easy-money' assets will bring in 'great wealth'. How to get in now Here are 5 'must have' items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you? This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
Time of India
03-05-2025
- Business
- Time of India
How Warren Buffett made $13 billion while others bled
In 2025's turbulent market, Warren Buffett's Berkshire Hathaway thrived by holding substantial cash reserves. While tech giants suffered losses, Buffett's strategy of exiting the 2024 bull market and investing in safe US Treasury Bills yielded significant returns. His approach, characterized by patience and a focus on value, contrasts sharply with chasing fleeting trends. Tired of too many ads? Remove Ads But how? What did he do differently? More importantly, what can you learn from it? Let's break it down. 'How's the market bloodbath feeling?' a friend casually asked. Tired of too many ads? Remove Ads Buffett's Secret? Doing Nothing! Popular in Markets And then? But Why Did Buffett Sell? 1. Valuations Were Too High Tired of too many ads? Remove Ads 2. The Return of Trump & Tariffs 3. No Good Deals Let's rewind. In 1999, as dot-com mania soared, Buffett didn't join the frenzy. He waited for the crash—and then bought. In 2008, during the financial crisis, he moved fast—bailing out Goldman Sachs and GE through strategic investments. In 2020, during the COVID crash, he was cautious—not because he lacked funds, but because the opportunities weren't juicy enough. The Power of Cash It gives you: The freedom to wait. The clarity to ignore hype. The firepower to strike when prices crash. Lessons From the Oracle of Omaha Restraint is a superpower You don't need a billion-dollar portfolio to invest like Buffett. Just the ability to wait. Don't overpay for hype 'It's better to buy a great company at a fair price than a fair company at a great price.' That's Buffett's mantra. Cash is underrated Whether you're eyeing stocks, real estate, or mangoes at your sabzi mandi, cash gives you options. You can walk away when the price is too high—and come back when it's fair. Act when fear returns Buffett is already investing again—this time, in undervalued Japanese stocks. And he'll keep doing what he's always done—buy value when others are running scared. Final Thoughts: What Can You Do? Build a little emergency fund—not just for emergencies but for opportunities. Stay calm when the markets turn red. Tune out the hype. Tune into value. Don't fear sitting on cash if nothing looks good. Be ready. Because when others panic, that's your time to pounce. (Disclaimer: The opinions expressed in this column are that of the writer. The facts and opinions expressed here do not reflect the views of .) In 2025, as market chaos wiped billions off net worths, Warren Buffett calmly added $13 billion to his wealth . While tech billionaires like Elon Musk Jeff Bezos , and Mark Zuckerberg watched their portfolios shrink, Buffett sat back—likely sipping a Cherry Coke—and watched his cash pile do all the a valid question. With markets correcting sharply in 2025, many investors were scrambling. But those who had prepared—like Buffett—were just sitting if there was ever a time to feel part of the Buffett tribe, this was others were riding the euphoric highs of 2024's bull market, Buffett was quietly exiting. Berkshire Hathaway sold a staggering $134 billion worth of didn't chase the AI wave. Didn't bet on crypto. Didn't initiate buybacks or jump into hot he took all that money and parked it into boring but safe US Treasury Bills—earning about 5% annually. That's more than $14 billion in interest income a year for just sitting on the of now, Berkshire holds $330 billion in cash, with a majority in short-term Treasuries. To put that in perspective, that's more than the combined market value of Starbucks, Ford, and wasn't random. This was classic is obsessed with buying quality at a fair price. Not at any price. And in 2024, he saw the market soaring beyond favorite warning signal—the Buffett Indicator (Total Market Cap to GDP)—had breached 200%, a level he once called 'playing with fire.'Historically, such levels preceded major market crashes. The last time this ratio peaked so high was just before the dot-com bubble burst in 2000 and the Great Financial Crisis in red flag? The S&P 500's price-to-book ratio, which hit levels not seen since the late '90s—another period of Trump's return to power came talk of tariffs. has previously likened tariffs to economic warfare. And Berkshire doesn't make bold moves when the world is on the verge of a trade war. Instead, Buffett's rule is simple: Don't lose all that cash, Buffett didn't go on an acquisition spree. Why? Everything was just too expensive. The valuations didn't justify action. So, he stayed that patience paid Isn't Buffett's First RodeoBuffett has always done the opposite of the crowd. When others get greedy, he becomes fearful. And when others panic, he gets isn't just protection. It's markets panicked in 2025, Buffett wasn't scrambling to sell. If prices fell further, he'd buy. If not, he'd collect interest. Berkshire's massive cash pile may also be part of a succession strategy. At 94, Buffett has already handed the reins to Greg Abel. That war chest? It's not just a defensive shield. It's a loaded gun for the next leader—ready to strike when the time is don't have to be Warren Buffett. But you can learn from how's the market bloodbath feeling to you?If you've been playing it smart, pat yourself on the back. And if not, maybe now's a good time to build that war when the next big opportunity comes, you'll want to be ready—not just with(The author Chakrivardhan Kuppala is Cofounder & Executive Director, Prime Wealth Finserv. Views are own)
Yahoo
19-03-2025
- Business
- Yahoo
Bill moves forward, but with resistance, to expand boundaries for North Omaha business park
The boundaries of the Omaha Inland Port Authority. (Courtesy of City of Omaha) LINCOLN — A bill aimed at enlarging the area where a long-awaited North Omaha business park could be developed advanced Tuesday to its final reading in the Nebraska Legislature. However, Legislative Bill 290, introduced by State Sen. Terrell McKinney of North Omaha, faced continued resistance led by State Sen. Bob Andersen of Sarpy County. McKinney told the lawmaking body that he was asking for flexibility on the boundaries because there are problems with the top two locations identified by the development team awarded the $90 million in state funds to prepare the industrial site. McKinney's bill would drop a requirement that the park be located within two miles of a major airport, instead allowing it to be within the broader boundaries of the Omaha Inland Port Authority. McKinney also chairs the board that oversees the Port Authority. Its jurisdiction, members said, is roughly 3,000 acres, although not all of that is buildable property. A new twist in $90M Omaha airport area business park plan gets mixed reaction The $90 million for a business park was part of the Economic Recovery Act approved by the Legislature in 2022 and updated in 2023. The act, which included other elements, was championed by McKinney and then-Sen. Justin Wayne of Omaha. A team led by the nonprofit Omaha Economic Development Corp., Burlington Capital and the Greater Omaha Chamber won the $90 million grant to develop the park. The team plans to use the funds to prepare a shovel-ready site and to market the area to businesses that would build a job-producing industrial hub. The Omaha Inland Port Authority Board was established after the Economic Recovery Act laid out parameters for the business park. The Port Authority Board now has oversight. One of the two sites the OEDC team identified as a priority location for the park has environmental cleanup expenses that could cost $40 million, McKinney has said. The other contains numerous households, some of which have balked at relocation to make way for the park. During debate Tuesday, Andersen noted that he opposed the bill during committee stage and again during legislative debate. Once again, Andersen charged that McKinney was 'unclear' on certain details such as how much of the Economic Recovery Act funds remained unspent. With the budget shortfall facing the state, he said lawmakers should consider stopping the business park plan. The Legislature voted 25-3 to advance the bill. Twenty legislators were present but chose not to vote. One senator was excused. A bill with no emergency clause needs 25 votes to pass with the governor's signature. The bill had passed the first round Feb. 28 with a 31-5 vote. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
Yahoo
14-03-2025
- Business
- Yahoo
Warren Buffett's $173 Billion Warning to Wall Street Is Coming to Fruition -- but Are You Paying Attention?
Over the last three weeks, Wall Street has sent investors a wake-up call to remind them that stocks do, in fact, move in both directions. Following a nearly 2.5-year bull market rally, the iconic Dow Jones Industrial Average, benchmark S&P 500 (SNPINDEX: ^GSPC), and growth stock-propelled Nasdaq Composite (NASDAQINDEX: ^IXIC) find themselves 8%, 9.3%, and 13.6% below their respective all-time closing highs, as of March 11. Among Wall Street's numerous money managers, perhaps none is least surprised by this move lower in equities than Berkshire Hathaway's (NYSE: BRK.A)(NYSE: BRK.B) billionaire CEO Warren Buffett. Although the aptly named "Oracle of Omaha" is an unwavering long-term optimist when it comes to the U.S. economy and stock market, his $173 billion warning to Wall Street over the last two years has been an ominous signal that trouble was brewing. To reiterate, Berkshire Hathaway's chief has opined, on multiple occasions, that investors shouldn't bet against America. Even though Buffett and his top investment advisors (Todd Combs and Ted Weschler) realize that economic downturns and stock market corrections are inevitable, they also recognize that periods of economic expansion and bull markets last substantially longer than downturns. Nevertheless, Warren Buffett's trading activity over short periods doesn't always align with his long-term investment philosophy. While quarterly filed Form 13Fs with the Securities and Exchange Commission allow investors to see which stocks Buffett and his team have been buying and selling, Berkshire Hathaway's quarterly cash flow statement provides precise insight on how much in net equities the Oracle of Omaha has purchased or sold. Over the previous nine quarters, Buffett has been a persistent net seller of stocks: Q4 2022: $14.64 billion in net-equity sales Q1 2023: $10.41 billion Q2 2023: $7.981 billion Q3 2023: $5.253 billion Q4 2023: $0.525 billion Q1 2024: $17.281 billion Q2 2024: $75.536 billion Q3 2024: $34.592 billion Q4 2024: $6.713 billion Altogether, Berkshire's leader has overseen the sale of roughly $173 billion more in stocks than he's purchased since Oct. 1, 2022 -- and there's pretty clear reasoning behind this net-selling activity. In Warren Buffett's latest annual letter to shareholders, he offered one of the more direct (and chilling) assessments of how he views stocks on Wall Street. Put bluntly, the Oracle of Omaha noted, "often, nothing looks compelling." One of the very few traits Buffett is unwavering on is his value-investing roots. Even though value is a subjective term that varies from one investor to the next, Berkshire's CEO refuses to buy shares of a company -- even one deemed to be a wonderful business -- if he doesn't feel like he's getting a good deal. With the stock market being historically pricey, it's become increasingly harder to find a bargain. The market-cap-to-GDP ratio, which has become known as the "Buffett Indicator," has long been a favorite valuation measure of Buffett's. It's arrived at by dividing the cumulative market cap of all U.S. stocks by U.S. gross domestic product (GDP). When back-tested to 1970, the Buffett Indicator has averaged a reading of 85%. Put another way, the total value of publicly traded stocks equates to roughly 85% of U.S. GDP. In February 2025, the Buffett Indicator surpassed 207%, which is an all-time high. It's a similar story with the S&P 500's Shiller price-to-earnings (P/E) Ratio, which is occasionally referred to as the cyclically adjusted P/E Ratio (CAPE Ratio). The Shiller P/E is based on average inflation-adjusted earnings over the previous 10 years. When back-tested all the way to January 1871, the S&P 500's Shiller P/E has averaged a modest multiple of 17.22. But as of the closing bell on March 11, the Shiller P/E stood at 34.76. While this is below its peak of 38.89 during the current bull market cycle, it's still more than double its long-term average. The five prior instances where the Shiller P/E topped 30 were all eventually followed by declines in the benchmark S&P 500 of at least 20%. In other words, when the stock market becomes pricey, Warren Buffett has no qualms about paring down his investment portfolio and sitting on his proverbial hands until valuations become attractive. Warren Buffett's persistent selling activity intimates that he's been expecting a sizable pullback in equities for some time. Based solely on historic precedent, there's the possibility investors could witness the S&P 500 and Nasdaq Composite fall by around 40%. While elevator-like moves lower in Wall Street's major stock indexes tend to tug on investors' heartstrings, they're just the type of event Berkshire's CEO waits for to begin deploying his company's capital. Berkshire Hathaway closed out 2024 with a record $334.2 billion in cash, cash equivalents, and marketable securities. History has shown that being patient and pouncing on price dislocations works exceptionally well for the Oracle of Omaha. One of Warren Buffett's best all-time investments was purchasing $5 billion worth of Bank of America (NYSE: BAC) preferred stock in August 2011. While Bank of America wasn't exactly looking for a handout at the time, Buffett swooped in with cash to shore up its balance sheet following the Great Recession. The real win was the BofA stock warrants that also came with the capital infusion. In mid-2017, Berkshire Hathaway exercised these warrants for just $7.14 per share and acquired 700 million shares of BofA common stock. At the time, it resulted in an instant $12 billion unrealized gain. Waiting for panic and peril to create price dislocations and bring wonderful businesses down to fair prices has frequently led to long-term promise for Warren Buffett and Berkshire Hathaway's shareholders. This time will be no different. Before you buy stock in Berkshire Hathaway, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Berkshire Hathaway wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $709,381!* Now, it's worth noting Stock Advisor's total average return is 822% — a market-crushing outperformance compared to 162% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of March 10, 2025 Bank of America is an advertising partner of Motley Fool Money. Sean Williams has positions in Bank of America. The Motley Fool has positions in and recommends Bank of America and Berkshire Hathaway. The Motley Fool has a disclosure policy. Warren Buffett's $173 Billion Warning to Wall Street Is Coming to Fruition -- but Are You Paying Attention? was originally published by The Motley Fool Sign in to access your portfolio
