BRK.B · Diversified Holding Company · Insurance
Berkshire Hathaway Inc.
CoreThe business
Berkshire is less a company than a masterclass in capital allocation. A fortress insurance balance sheet provides low-cost float, which funds the ownership of dozens of durable operating businesses and a concentrated equity portfolio. It is the institutional embodiment of patience, prudence, and owning quality for the long run.
The flywheel
Insurance float provides capital at attractive cost; that capital buys cash-generative businesses and equities; their earnings replenish the capital base, which buys more. The cycle has compounded book value for decades with minimal leverage and maximal discipline — exactly the loop Flywyl is built to emulate.
Why we own it
- A diversified collection of durable, cash-generative businesses under one roof.
- Fortress balance sheet that turns market dislocations into opportunities.
- A culture of rational, unemotional capital allocation we deeply admire.
- Built to endure — anti-fragile by design and conservatively financed.
Key risks
- Scale makes needle-moving acquisitions harder to find.
- Leadership transition beyond the founding generation.
- A large cash balance can be a drag during sustained bull markets.
Our recommendation
Berkshire is both a holding and a north star. We own it as ballast — a core position that compounds steadily and reminds us, in every market, that the big money is in the waiting.
This note reflects the views of Flywyl as of May 2026 and is provided for informational purposes only. It is not investment advice, an offer, or a solicitation to buy or sell any security. Views and positioning may change without notice. Past performance does not guarantee future results, and all investments carry risk of loss. Figures and qualitative ratings are illustrative of our internal framework and should be independently verified.