• Key insight: The future of Berkshire Hathaway’s banking-related investment strategy is murky. The firm recently downsized its financial-services portfolio, as Warren Buffett gave up the CEO job and another leader with deep banking ties left the company.
• What’s at stake: Under Buffett’s leadership, Berkshire has been a major investor in the U.S. banking sector since the 1960s.
• Expert quote: “I don’t think, late in a financial cycle, there’d be a lot of interest in increasing their bank exposure today.” — Christopher Bloomstran, president and chief investment officer at Semper Augustus Investments

Processing Content

Warren Buffett built Berkshire Hathaway into a trillion-dollar conglomerate in no small part on the strength of bank…