Friday, March 18, 2011

Warren Buffett gets billions back from Goldman Sachs

Never doubt Warren Buffett's ability to make money or get his money back. Especially, these days, with government approval.

The Federal Reserve the results of the second round of stress tests for the nation's banks. The capital and balance sheet assessment results in many banks increasing dividends and adding share buy-backs.

In 2008, during the financial crisis, Warren Buffett invested $5 billion in Goldman Sachs preferred stock paying a healthy dividend.

Warren Buffett, more specifically Berkshire Hathaway (50,000 preferred shares), now gets that equity returned. Nice work Mr. Buffett.