Berkshire Hathaway Inc. (BRK.A): Are You Reaching for the Brass Ring, or Hanging Over a Cliff?

Page 2 of 2

And don’t get caught up in the usual complaint about the lack of a dividend: I would rather have Buffett and his two understudies, Todd Combs and Ted Weschler, using their proven investing acumen to re-invest Berkshire Hathaway Inc. (NYSE:BRK.A) (NYSE:BRK.B)’s earnings than losing 15% to the tax man and trying to reinvest it myself. If I was a better investor than they, I wouldn’t be buying Berkshire Hathaway Inc. (NYSE:BRK.A) (NYSE:BRK.B). If you were a better investor, you probably wouldn’t be reading this article.

While it makes sense for most other businesses to return excess earnings to shareholders via dividends, and one day it may make sense for Berkshire Hathaway Inc. (NYSE:BRK.A) (NYSE:BRK.B) to do so, today isn’t that day.

Foolish bottom line

Taking risky bets on things we don’t understand is a stupid way to invest, especially when the odds are against you. We have a proven way to wealth, but it takes time and patience, and above all, discipline. My recommendations won’t help you get rich quick, but they will help you get rich slowly.

What do you think? Tell me in the comments below!

The article Are You Reaching for the Brass Ring, or Hanging Over a Cliff? originally appeared on Fool.com.

Jason Hall owns shares of Berkshire Hathaway, SPDR S&P 500 ETF, and Guggenheim S&P 500 Equal Weight ETF. The Motley Fool recommends Berkshire Hathaway. The Motley Fool owns shares of Berkshire Hathaway. Jason is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Page 2 of 2