Quora Answer: How Would Warren Edward Buffet’s Age Factor into Your Decision to Invest in Berkshire Hathaway?

The following is my answer to a Quora question: “How should Warren Edward Buffet’s age factor into your decision to invest in Berkshire Hathaway?”

Berkshire Hathaway has grown to the extent that it is more than just Warren Edward Buffet, and Charles Thomas Munger, making decisions, although they still make the final call.  What would factor into my decision if the numbers, their portfolio performance, their exposure and their healthy liquidity.

When Warren Buffet dies, this will not change overnight.  I do not see the remaining management team rocking the boat, and changing their philosophy.  They were recruited because their views aligned with the management team.  There might be a slight drop in the stock due to market sentiment, but unless there is an unlike change in their fundamental strategy, things will be on the same track.

That aside, due to the economies of scale and the nature of the market, it is illogical for us to expect the sort of growth that Berkshire Hathaway had in their growth years.  Theirs is a stock to buy and hold, not speculate on a secondary market.  People buy them to profit off the dividends.