4 ms·
Note that the differences between Berkshire A and B aren't that great. B's have about 1/6 the relative voting rights per dollar of value. I used to look at arbi
by valuearb 9y ago
Note that the differences between Berkshire A and B aren't that great. B's have about 1/6 the relative voting rights per dollar of value. I used to look at arbitraging the A shares into B shares when the relative values were attractive, and voting rights never mattered because I wanted the guy running it to have that power.
But maybe that's wrong. I like what the S&P is doing here and maybe they should drop the hammer on GOOG and BRK too. And I say this as someone who has about 2/3s of my net worth in BRK.
- konschubert 9y agoI've been thinking but couldn't figure out how one would do arbitrage there..
- deleted 9y ago[deleted]
- siberianbear 9y agoIn fairness to Berkshire, the A and B shares are both traded on exchanges. If the voting rights are important to you, you can just buy the A shares. In theory, if you had a metric ton of money, you could take control of the company just by buying shares there. In Snap, you can't go on exchange and go buy the voting shares. They're held by insiders who won't sell at anywhere near the price of the non-voting shares.