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BRKa vs. BRKb
JohnnyGoBrowns 04-18-2008, 9:34 PM | Post #2509581 |  18 Replies
4  

What's the difference between buying 1 share of BRKa and buying the equivalent amount of dollars worth of BRKb?

 

I am looking to invest in Warren Buffett. He's a smart guy!

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Re: BRKa vs. BRKb
duanej 04-18-2008, 10:17 PM | Post #2509590
0  

Buffett's memo says it all. The only differences are in voting rights, and convertibility (only allowed from A -> B).

Duane

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Re: BRKa vs. BRKb
Governor 04-20-2008, 3:40 PM | Post #2510021
0  
The only difference is 'b' is one fifth of a share of 'a'.
Re: BRKa vs. BRKb
JohnnyGoBrowns 04-21-2008, 9:47 PM | Post #2510447
0  

Thanks for the info. I am planning on averaging in with class B. What would be the best way to buy?

 

Through a discount broker, or is there a more direct way? 

Re: BRKa vs. BRKb
duanej 04-21-2008, 10:51 PM | Post #2510452
0  

I'm not aware of any direct-purchase plan. Pick your favorite broker, open an account, and start buying.

Duane

Re: BRKa vs. BRKb
StarHBre 04-22-2008, 12:07 AM | Post #2510469
0  

Johnny Go Browns,

It is my understanding that you can do automatic investments in BRK.B at either Sharebuilder.com or Foliofn.com.

With either broker you can invest dollar amounts and buy fractional shares.  You can DCA at about $4.00 per transaction.  I'm not sure what additional fees they may charge.

helmut 

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Re: BRKa vs. BRKb
theDumberOne 04-22-2008, 1:07 PM | Post #2510584
1  
At $4.00 a transaction it will take around 1040 transactions to buy one BRK.B at today's price.
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Re: BRKa vs. BRKb
StarHBre 04-22-2008, 1:53 PM | Post #2510600
0  

The $4.00 is the cost of the trade, not the amount invested.  An example; if you were to DCA at $400 per trade, the transaction would cost you $4.00 or 1%.

helmut 

Re: BRKa vs. BRKb
loisp 04-22-2008, 10:06 PM | Post #2510762
0  
Do you think now would be a good time to be buying BRK.B stock?
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Re: BRKa vs. BRKb
Super_Snark 04-22-2008, 10:44 PM | Post #2510776
0  
theDumberOne:
At $4.00 a transaction it will take around 1040 transactions to buy one BRK.B at today's price.
Don't you just love it when people live up to their screen name!
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Re: BRKa vs. BRKb
buki05 04-23-2008, 8:53 PM | Post #2511160
2  

Only differences are as follows

 

1) B shares are 1/30th ownership of an A share.  i.e. 30 "B" shares are the equivalent ownership of 1 "A" share 

2) A shares can be converted to B shares at the rate of 1 to 30.  B shares cannot be converted to A shares

3) A B share has 1/200th of an A shares voting rights.

 
4) In the market the two issues are priced independently but if you multiply the B share price by 30 you will equal the approximate trading price of one A share.

 

 

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Re: BRKa vs. BRKb
EagleTed 04-25-2008, 9:42 PM | Post #2511796
0  
buki05:

 
4) In the market the two issues are priced independently but if you multiply the B share price by 30 you will equal the approximate trading price of one A share.

 

And if not, do what Buffett does when he gets bored, arbitrage. 

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Re: BRKa vs. BRKb
loisp 05-01-2008, 5:18 PM | Post #2513720
0  
I think I missed out on a great opportunity to buy Berkshire B share on April 24th at $4,225.  Today it is $4,460.  Kind of makes me feel sick inside.
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Re: BRKa vs. BRKb
StarHBre 05-01-2008, 5:58 PM | Post #2513743
0