There's a problem with mutual funds and exchange-traded funds (ETFs) that doesn't bedevil a traditional company. Avoiding this single issue is one of the reasons why Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B) has achieved such impressive success over time. Here's why this financial giant has produced so many millionaires and why it could keep doing so in the future, even after Wall Street icon Warren Buffett eventually leaves the corner office.

If you were to describe Berkshire Hathaway's business, some might argue that it is an insurance company. But there's a case to be made for calling it a railroad company. And a utility. And a midstream company. And a retailer, a manufacturer, and a chemical company, too. At the end of the day, it would be most appropriate to use the term "conglomerate." That's because it owns businesses across all of the above sectors, and more.

Continue reading

Source Fool.com