Annual Checkup -- BRKB

For the very good and very reassuring reason that there hasn't been anything important to say, I haven't written anything this year about my investment in Berkshire Hathaway (BRKB -- click to register for free RT streaming quote). Right now my holdings in Warren Buffett's holding company are roughly at the break-even point -- down one or two percent from my purchase back in March. I have no intention of ever selling my BRK shares -- I expect that the company will continue to be a large and steadying presence in my otherwise pretty volatile portfolio. I do think that the shares are likely to advance in the coming couple of years as utility deregulation gives Buffett more opportunity to leverage his investment in Mid-American Energy and his bets agains the US dollar yield some fruit (I'm just guessing that the dollar will decline further in the next couple years , but I could easily be wrong). BRK took a bit of a hit in the Katrina aftermath, but while they do have many liabilities to pay out in the Gulf they also will profit from the rebuilding through their several construction materials and prefab housing companies. I expect the worst thing that could happen to BRK would be Buffett's retirement or demise, but I think the value of the company's holdings (now carried on the books at a small fraction of their true value) will win out over time, and anything bad that happens to Buffett might be a good buying opportunity if we believe in the rest of his management team and his (top secret) succession plan. I'm certainly not going to sell, but I won't watch my BRK shares that closely this year either.

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