Warren Buffett Warns on Bond Shortcomings

In his annual letter to shareholders, the Berkshire chairman and CEO offers more detail on succession planning, housing market predictions and a warning for bond investors

Jason Stipp 27 February, 2012 | 12:59PM

Berkshire CEO and chairman Warren Buffett offered a few hints about succession planning, some insights into the firm's operating performance, and a big warning to bond investors Saturday.

The company on Saturday morning released its 2011 results, along with Buffett's annual letter. Below I've highlighted some of the key points from the widely read missive, including some detail on Buffett's successor, Berkshire's performance, as well as some thoughts on Buffett's current view of stocks versus bonds, which he had earlier expressed in a preview article published in Fortune magazine.

Succession Planning
On the topic of succession planning, long a point of concern among shareholders, Buffett assured readers that Berkshire's efforts are paying off, and he indicated that a successor CEO had been selected (though he was, as expected, mum on the name).

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About Author

Jason Stipp  is Editor of Morningstar.com, the sister site of Morningstar.co.uk.

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