Investor In The Family Radio

Welcome to Episode 6 of the "Becoming Buffett" Series! This week we discuss the 1970 letter to Berkshire Hathaway shareholders. Buffett's annual letters book: http://amzn.to/2ogVi4U Some brief notes: 1970  First letter signed by Buffett Very diverse earnings across various operations Bank had record earnings Insurance had some setbacks but still excellent returns Textile became more and more difficult and broke-even Highlights the value of diversifying Overall BH return of ~10% This is far better than would have been the case if BH had remained exclusively devoted to the textile business Again, reinforces why strategic diversification can be so valuable Continue to face strong headwinds in textile operations Actively working to make the most of the situation, including costly decisions to BH and employees Are we willing to make an honest assessment of our “business (household)” and make appropriate changes? Ex: cut expenses, take a step of faith and try to start a new income stream, etc. New insu