By Andrew Frye
(Updated with comments investors in the fourth paragraph, the decline in investment income in the seventh.)
26. (Reuters) - Warren Buffett said his "itchy trigger finger on the acquisitions for cash holdings of his Berkshire Hathaway Inc. increased to $ 38.2 billion e
"Our elephant gun was charged," Buffett said in his annual letter to shareholders today. Berkshire needs "good performance of our existing businesses and larger acquisitions," according to the Omaha, Nebraska-based company reported a gain of 43 percent of its fourth-quarter earnings on paris and derived profits from the Burlington Northern Santa Fe Railroad.
Buffett looks for acquisitions such as Berkshire 13000000000 dollar profit in 2010 increased the company resources and near-record low interest rates to limit revenues in fixed income markets. Buffett made his biggest acquisition, buying $ 26500000000 Burlington, last February. He has since said it will consider opportunities outside the U.S.
"It loads at a rapid pace," said Thomas Russo, partner at Gardner Russo & Gardner in Lancaster, Pennsylvania, which has about 10 percent of its budget of U.S. $ 4 billion under management invested in Berkshire. "The hunt for new investment and full these, I do not think the brakes ever."
Berkshire rose in the fourth quarter net income of $ 4380000000 3060000000 dollars. Der Gewinn für das Gesamtjahr um 61 Prozent lag 2010 ab 2009. Berkshire rose 5.9 percent on the NYSE this year against the advance of 4.9 percent in the Standard & Poor's 500 Index.
The yield increase
Acquisitions can help drag Buffett Berkshire earnings growth for the investment income of insurance subsidiaries of the company. Investment income units, including reinsurer General Re and Geico relations specialist car produced dropped from 5.9 percent in 2010 to 5,190,000,000 $ e Buffett said in his letter that he expected a further decline in 2011, defeated the investments that he has matured during the credit crisis.
Goldman Sachs Group Inc. and General Electric Co. is expected to repay the $ 8000000000 Buffett in 2008, has invested 10 per cent for securities, said Buffett. Performance in fixed income markets have declined over the past two years, and Buffett, Berkshire Chairman and CEO, said in October that investors were buying bonds after the fall "to make a mistake ".
Corporate bonds pay an average yield of 9.3 percent in October 30, 2008, after the Bank of America Merrill Lynch index data. He fell to 4.08 percent on Feb. 23, the data show. The yield on two-year U.S. Treasuries fell to a record low of 31 basis points on November 4, before rising by 71 basis points yesterday. The two-year grade point average earnings over the last 10 years, more than 250 basis points.
- With the help of Noah Buhayar New York. Rick Levinson, Dan Kraut Editors.
To contact the reporter on this story: Andrew Frye in New York afrye@bloomberg.net.
To contact the editor responsible for this story: Dan Kraut in dkraut2@bloomberg.net.
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