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Principles of Finance Videos 166 videos

Principles of Finance: Unit 1, Company Formation, Structure, Inception
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How is a company... born? Can it be performed via C-section? Is there a midwife present? Do its parents get in a fight over what to name it? In thi...

Principles of Finance: Unit 1, Intro: Company Formation, Structure, and Inception: Unit Intro
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Company Formation, Structure, and Inception: Unit Intro. Sorry, Leo DiCaprio fans—we're not going to be breaking down the plot of Inception. We'r...

Principles of Finance: Unit 1, Alex, That’s Finance Potpourri for $500
67 Views

Okay, so you want to be a company financial manager. It's basically up to you to make money for the shareholders. It would also be swell if you mad...

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Principles of Finance: Unit 2, Berkshire Hathaway: Public? Private? Who Cares? 3 Views


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Description:

Berkshire Hathaway...public, private, or who cares?

Language:
English Language

Transcript

00:00

Principles of finance ah la shmoop berkshire hathaway public private

00:05

And who cares So what's the deal with berkshire hathaway

00:09

ok hold your breath for the next minutes so when

00:12

they're talking about financial writing most people would bring up

00:16

a forbes or bloomberg or in the worst case some

00:19

semi unknown blogger who rants about returning to the gold

00:22

standard But the best finance writing in the world is

00:26

in fact found in a much more unexpected place it's

00:29

in the annual report or report to shareholders written by

00:33

legendary investor warren buffett whose brainchild was berkshire hathaway his

00:38

holding company which basically is a joy enormous insurance company

00:42

that also makes investments in things like razors and sugary

00:47

soft drinks and a bunch of other crap So pause

00:50

the video do a few minutes of intense googling Think

00:53

about this guy say a few prayers You definitely want

00:56

to be like him financially Through the power of the

00:58

internet you'll be able to read every single letter that

01:01

he's ever written to his shareholders when the company started

01:05

in its founding in the early seventies to the present

01:07

day You can't claim you know jack squat about finance

01:11

Unless you've read the first ten pages or so of

01:14

each of these reports very few people died last year

01:17

from reading annual reports what's so cool about these letters

01:21

in the context of well this financial course released this

01:24

video is that there are perfect bridge between private and

01:27

public investing That is it doesn't matter if a company

01:31

has one hundred shares outstanding in his private and you

01:34

own ten shares ten you own ten percent of the

01:37

pie If a company is public well the same holds

01:40

true The key difference is that you were generally married

01:43

to the private company in that you can't wake up

01:46

cranky one morning and just get divorced from it by

01:49

selling your shares on schwab or fidelity or wherever where's

01:52

public company we'll just requires quick call to that same

01:55

brokerage robber fidelity and well they'll take your call charge

01:58

you a small commission and while you could be on

02:00

tinder guiltless lee thirty minutes later having sold your shares

02:04

and turned them into cash anyway read on mcd off

02:07

enjoy these moments you only get to read buffet once

02:10

for the first time and it's a treat warren's writing

02:13

is a mash up of the best of tiger woods 00:02:15.53 --> [endTime] golf michael phelps swimming and well warren buffett's investing

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