You Don't Have to Pick a Winner in Utilities. Here's Why.
Investors around the world watch Warren Buffett's Berkshire Hathaway (NYSE: BRK.B) with intense scrutiny to see what the Oracle of Omaha is up to. One thing that may surprise some investors is his love of infrastructure assets, like utilities. Here are some ways you can get in on the action without having to pick a winner.
Utility stocks are not usually very exciting. Historically, they were looked at as "widows and orphans" stocks because they were considered so safe that even the most risk-averse investors would be OK owning them. There are some risky utilities, but the boring side of the business is really related to regulated assets. Effectively, a regulated utility is given a monopoly in the area it serves but must subject its spending and customer-rate decisions to government scrutiny. Regulators generally try to find a reasonable balance between the need for profits and the need for reliable energy and utility services.
Image source: Getty Images.
Source Fool.com
Berkshire Hathaway Inc. A Aktie
Mehr Buy- als Sell-Zahlen bei Berkshire Hathaway Inc. A zeigen ein leicht positives Sentiment.
Das Community-Kursziel von 650000 € für Berkshire Hathaway Inc. A deutet auf ein leicht positives Wachstumspotenzial gegenüber 602000.0 € hin.
