Berkshire Hathaway: A Tale of Two Stocks
BRK.A and BRK.B - What's the Difference?
Introduction:
Berkshire Hathaway Inc. (BRK) is a conglomerate holding company led by Warren Buffett. The company owns a diverse portfolio of businesses, including insurance, railroads, and consumer goods. Berkshire Hathaway is divided into two classes of stock: Class A (BRK.A) and Class B (BRK.B). Both classes of stock represent ownership in the same company, but they have different economic characteristics.
BRK.A shares have a higher value than BRK.B shares, but they also have a higher voting power. BRK.B shares have a lower value than BRK.A shares, but they have a lower voting power. Each BRK.A share has 100 votes, while each BRK.B share has only 1 vote. This difference in voting power can be significant in certain situations, such as when there is a vote on a major corporate decision.
Overall, BRK.A and BRK.B shares are two different ways to invest in Berkshire Hathaway. BRK.A shares are a better choice for investors who want more voting power, while BRK.B shares are a better choice for investors who want a lower share price.
In this article, we will discuss the differences between BRK.A and BRK.B shares in more detail. We will also provide an overview of Berkshire Hathaway's business and its investment philosophy.
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