Actually, Buffet admitted it was colossal mistake to allow Berkshire to buy NICO instead of BPL, his thinking could have been influenced by the era of conglomerates of the time as you mentioned
From the 2014 Annual Report:
"Early in 1967, I had Berkshire (instead of BPL) pay $8.6 million to buy National Indemnity Company (“NICO”), a small but promising Omaha-based insurer." Buffett confesses: "I’ve had 48 years to think about that question, and I’ve yet to come up with a good answer. I simply made a colossal mistake."
That's a wonderful point; it's interesting how Buffett followed up with the mistake of purchasing Berkshire with another. I appreciate you taking the time to read and comment. Thank you!
It's a summary of Buffett's comments from the annual letter. That was the year when BRK's entered into the publishing business, acquiring two newspapers companies.
Actually, Buffet admitted it was colossal mistake to allow Berkshire to buy NICO instead of BPL, his thinking could have been influenced by the era of conglomerates of the time as you mentioned
From the 2014 Annual Report:
"Early in 1967, I had Berkshire (instead of BPL) pay $8.6 million to buy National Indemnity Company (“NICO”), a small but promising Omaha-based insurer." Buffett confesses: "I’ve had 48 years to think about that question, and I’ve yet to come up with a good answer. I simply made a colossal mistake."
That's a wonderful point; it's interesting how Buffett followed up with the mistake of purchasing Berkshire with another. I appreciate you taking the time to read and comment. Thank you!
Great post! Nice to learn more about NICO.
Thank you! I have your 1968 article bookmarked and I look forward to reading it when I start researching the year.
It's a summary of Buffett's comments from the annual letter. That was the year when BRK's entered into the publishing business, acquiring two newspapers companies.
Great read - and thanks for the shout-out to "The Right Way To Run An Insurance Company"!
Thanks man, I appreciate the comment.