Buffett Reaffirms Commitment To Stock Investments In Annual Shareholder Letter

According to BlockBeats, on February 23, Berkshire Hathaway Chairman and CEO Warren Buffett addressed shareholders in his annual letter, emphasizing the company's continued commitment to stock investments. Despite some commentators viewing Berkshire's substantial cash holdings as unusual, Buffett assured shareholders that the majority of their funds remain invested in stocks, a preference that will not change. Although Berkshire's holdings in publicly traded stocks decreased from $354 billion last year to $272 billion, the value of its unlisted equity holdings has increased and remains significantly larger than its public investment portfolio. Buffett reassured shareholders that their funds would always be predominantly allocated to stocks, primarily U.S. stocks, many of which have significant international operations. He stated that Berkshire would never prefer holding cash equivalents over owning excellent businesses, whether through full or partial ownership. The letter also highlighted Berkshire's ongoing increase in yen-denominated borrowings, though not following any fixed pattern. All borrowings are at fixed rates, with no floating-rate debt. Buffett mentioned that he does not predict future foreign exchange rate movements and aims to maintain a roughly neutral position in terms of currency. Notably, this year's shareholder letter did not mention cryptocurrencies.