Warren Buffett Just Dumped Goldman Sachs -- Here's Why I'm Not Selling
Berkshire Hathaway's (NYSE: BRK.A) (NYSE: BRK.B) stake in investment banking giant Goldman Sachs (NYSE: GS) originated from a savvy investment CEO Warren Buffett made around the time of the financial crisis. In exchange for providing $5 billion of capital to the investment banking giant in 2008, Berkshire received preferred shares paying a 10% annual dividend, plus warrants to buy $5 billion of Goldman's common stock at $115 per share.
Well, after a negotiated deal in 2013, Berkshire's warrants were converted into about 13 million shares of Goldman, which is how the stock found its way into Berkshire's portfolio. Since that time, Buffett has sold and added to the stake, which sat at about 18.3 million shares as of the third quarter of 2019.
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Source Fool.com
