Berkshire Hathaway’s Cash Position

Investing legend Warren Buffett has built a record $334 billion cash position at Berkshire Hathaway.

The firm’s new fourth-quarter and yearly earnings reports show Buffett continues to be a net seller of assets, with cash on hand rising from $325 billion at the end of Q3.

The firm’s Q4 sales include a whopping sell-off of 117 million Bank of America (BAC) shares, worth about $5.5 billion.

In his annual letter to shareholders, Buffett says despite the ongoing unload of equities, investors should not be concerned that Berkshire is hoarding too much paper money.

> “Berkshire will never prefer ownership of cash-equivalent assets over the ownership of good businesses, whether controlled or only partially owned…
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> Despite what some commentators currently view as an extraordinary cash position at Berkshire, the great majority of your money remains in equities. That preference won’t change.
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> While our ownership in marketable equities moved downward last year from $354 billion to $272 billion, the value of our non-quoted controlled equities increased somewhat and remains far greater than the value of the marketable portfolio.”

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