No. of Recommendations: 1
My question for either of you: when you deduct the $30b in cash, I presume that is because Buffett has said that he would not use that cash for acquisitions. But nevertheless, it IS invested, usually in short-term treasurh bills, with 1-month Treasuries currently yielding 4.75%. Seems like it should still be in the valuation, even if it's not available for buying stocks or companies.
I think of it as a small offset of the float liability, currently $174b.
Also, underwriting from just 4 quarters or even a few years is going to be volatile.
True, and I only include it because it seemed to be the board consensus to do so. Buffett didn't include underwriting earnings in his original 5-groves.
If I include the $30b cash, and underwriting earnings of $2793m, I get: $441 vs $444 previously.
