Berkshire Hathaway Inc. reported a stake in Suncor Energy Inc. and added to a holding in General Motors Co. as billionaire Chairman Warren Buffett and his deputies spent the most on stocks in a quarter since 2011.
Buffett’s firm owned 17.8 million Suncor shares on June 30, a stake valued at more than $500 million in the Calgary-based heavy-oil producer, Berkshire said Thursday in a regulatory filing. The company also added to its holdings in U.S. Bancorp and Wells Fargo & Co. The filing omitted some data that was reported confidentially to regulators.
The billionaire’s preference for buying stocks and businesses rather than bonds has helped his company weather a spike in interest rates this year. Omaha, Nebraska-based Berkshire’s equity portfolio, which is about three times larger than its fixed-income holdings, rallied past $100 billion in the second quarter.
“His portfolio has been moving up nicely,” said David Kass, a professor at the University of Maryland’s Robert H. Smith School of Business who has taken students to meet Buffett in Omaha. His allocation to stocks “not only has been the right strategy until now, it’s very likely to be the right strategy going forward.”
Canadian oil companies including Suncor have benefited as the gap between oil-sands crude grade Western Canada Select and U.S. benchmark West Texas Intermediate narrowed from a record $42.50 a barrel in December. Producers are working around a shortage of pipelines that was depressing Canadian heavy-crude prices by moving more volumes to market by rail.
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Billionaire Warren Buffett reveals $500 million stake in Suncor
Maybe he knows the inside track on Keystone XL “@heraldenergy: Billionaire Buffett's $500 million stake in Suncor http://dlvr.it/3pbvyJ
https://twitter.com/ezralevant/status/368140261664116736
Buffett’s firm owned 17.8 million Suncor shares on June 30, a stake valued at more than $500 million in the Calgary-based heavy-oil producer, Berkshire said Thursday in a regulatory filing. The company also added to its holdings in U.S. Bancorp and Wells Fargo & Co. The filing omitted some data that was reported confidentially to regulators.
The billionaire’s preference for buying stocks and businesses rather than bonds has helped his company weather a spike in interest rates this year. Omaha, Nebraska-based Berkshire’s equity portfolio, which is about three times larger than its fixed-income holdings, rallied past $100 billion in the second quarter.
“His portfolio has been moving up nicely,” said David Kass, a professor at the University of Maryland’s Robert H. Smith School of Business who has taken students to meet Buffett in Omaha. His allocation to stocks “not only has been the right strategy until now, it’s very likely to be the right strategy going forward.”
Canadian oil companies including Suncor have benefited as the gap between oil-sands crude grade Western Canada Select and U.S. benchmark West Texas Intermediate narrowed from a record $42.50 a barrel in December. Producers are working around a shortage of pipelines that was depressing Canadian heavy-crude prices by moving more volumes to market by rail.
more
Billionaire Warren Buffett reveals $500 million stake in Suncor
Maybe he knows the inside track on Keystone XL “@heraldenergy: Billionaire Buffett's $500 million stake in Suncor http://dlvr.it/3pbvyJ
https://twitter.com/ezralevant/status/368140261664116736
