Berkshire Hathaway Sold Majority Of Its Stake In Goldman Sachs

The legendary investor Warren Buffet, also known as the Oracle of Omaha, for his right decision to choose the right type of investments, has shocked many analysts after deciding to sell most of the stake in Goldman Sachs. Berkshire Hathaway, which stood behind Goldman Sachs during the 2008 financial crisis, has sold the majority of its stake in Goldman Sachs. Berkshire said that they had sold 10 million shares of Goldman Sachs worth $2.3 billion at the end of the year. The sale represents a 2.3% stake of Berkshire Hathaway in Goldman Sachs. After selling that much amount of shares now, Berkshire Hathaway has 1.9 million shares or a 0.6 percent stake in Goldman Sachs.

Berkshire Hathway also sold its 0.6 percent stake in JPMorgan Chase. Warren Buffet, who is known for making multi-billion dollar deals, hasn’t done anything significant during this pandemic situation. He mentioned how the current situation would impact the government’s economic policies during the annual shareholders meeting. During the 2008 financial crisis, Warren Buffet decided to invest $5 billion, which gave him a tremendous amount of returns per year. However, it was costly for Goldman Sachs, they also did not perform up to expectations, and many competitors got ahead with the time.

Buffet recently invested a large amount of money into Delta Airlines and other airline stocks, which got a massive hot during April. Warren Buffet told the investors that they had invested nearly $7-8 billion in airline stocks for the last few years, and now most of them are not performing well because of the pandemic situation. Buffet dumped airline stocks also and tried to figure out the right type of actions to choose; however, this time, the decisions taken by Warren Buffet are quite different than those in the 2008 financial crisis.