Warren Buffett Defends Goldman Sachs, says Economy Rebounding

One day I looked at the amount of money my bank was paying in interest and thought it was a joke!

So 3 years ago I started buying stocks through an on-line broker. And the money I get paid in dividends is greater by far from just letting my money sit in a savings account at 0.25%

I’ve read books on Value Investing of which Warren Buffet is a huge proponent. Today, I’m a small investor with a better control of my financial future.

Am I a Fat Cat?

Not even close. But, I'm definitely in the investor class that believes in making my money worker harder for me and my family. That's why America is so great because I have the freedom to do this and not expect Obama government to do it for me while I sit on my butt and ask for more.

And you could do the same!


From The New York Post:

Berkshire Hathaway Inc. chairman Warren Buffett today defended Goldman Sachs Group, as he announced Berkshire recorded a first-quarter profit of $3.6 billion, compared with a net loss of $1.5 billion a year earlier, as the global economy improved.

Buffett, who invested $5 billion in Goldman at the height of the financial crisis, also came to the defense of Goldman Sachs Group Inc. in hard-hitting comments at the annual meeting of Berkshire investors in Omaha, Neb.

He said there has been "misreporting" on the nature of the Abacus deal at the center of an Securities and Exchange Commission investigation into the firm. Buffett said the Abacus deal is no different from a standard bond-insurance transaction and shouldn't reflect poorly on Goldman.

Berkshire Vice Chairman Charlie Munger, who said this week that Goldman was engaged in "socially undesirable" activities, told shareholders that he would have voted against SEC prosecution.

Buffett also said the company's results show that the global economy is showing significant signs of recovery for the first time.

Operating profit was $2.2 billion, reversing a year-ago loss of $3.2 billion, he said. Individual units showed significant signs of improvement in March, after slight gains in prior months, he said.

"What was sort of a sputtering recovery months ago seemed to pick up steam in March and April," Buffett said. "We're seeing a pretty good uptick."

Buffett's pronouncements on the economy are studied by investors large and small, and the Berkshire units he's acquired over four decades give him a unique perspective.
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Via New York Post The Last Tradition