Despite having a relatively calm 2011 compared to many other funds, Warren Buffett's Berkshire Hathaway's stock price doesn't reflect the same sentiment. According to the Wall Street Journal, Berkshire is currently trading at about 1.1x book value—a low that hasn't been seen in decades. There are several reasons why:
Investors are unsure if Buffett's eventual successor will be able to replicate his successful investment choices.
The fund's large size—$160 billion AUM—means that returns l
Berkshire investor base is changing, while the company used to draw long-term investors, there are some who are unwilling to wait long for positive returns (what Berkshire is known for)….
More? Check out http://www.businessinsider.com/why-berkshire-hathaway-is-at-its-cheapest-valuation-in-decades-2012-2
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