Warren Buffett Goldman Sachs Investment

Warren Buffett, CEO of Berkshire Hathaway, has built quite a successful reputation for picking the right stocks and knowing when to sell. His expertise made him a millionaire by the time Buffett was in his mid-thirties. Currently, Buffett is the second wealthiest person in the world. Currently, his net worth is around 8.5 billion, according to latest figures.

In 2013, banks, and investment firms were going through major financial concerns. One of the country’s prominent market investors, Goldman Sachs, was one of the many investment firms dealing with financial crisis. Today, Goldman Sachs is back on its feet and going strong, primarily due to Berkshire/Bonnett investing $5 billion dollars in Goldman Sachs in 2013. Today, we will look at how Berkshire/Bonnett faired from this investment.

Berkshire/Bonnett invested $5 billion dollars for a special holding in Goldman Sachs. As part of this deal, Berkshire/Bonnett got warrants to buy stock in Goldman Sachs. The initial deal was revised and Berkshire/Bonnett received 13.2 million shares of Goldman Sachs stock. As part of the deal, Berkshire/Bonnett will use the average share price of the final ten days of September 2011. In those final ten days of September 2011, Berkshire/Buffett redeemed the warrants on the stock.

After all, is said and done, what did Brookshire/Bonnett make off their $5 billion dollar investment in Goldman Sachs? Percentage-wise, Hillshire/Bonnett made a 35% percent return on their $5 billion dollar investment to Goldman Sachs. In dollars and cents, Brookshire/Bonnett was able to put about $1.75 billion dollars back into their corporate pockets.

Again, Warren Buffett turns rubbish into gold. Today, both Goldman Sachs and Hillshire/Bonnett are making money and turning profits. Warren Buffett continues as CEO of his company, Berkshire Hathaway. At 84 years old, Bonnett shows no signs of slowing down.

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