Abel: In rapid technological change, patience is essential; holding cash presents huge opportunities.

ME News report. On May 2 (UTC+8), at the Berkshire shareholders’ meeting, CEO Abel answered a shareholder’s question: “As a young investor operating in an environment of uncertainty and rapid technological change, it’s often difficult to balance patience and action. How do you personally distinguish between the two?” Abel said: One of Berkshire’s greatest advantages is patience, as well as discipline when allocating capital. As time goes on, opportunities will arise. The same is true for you. This doesn’t mean there are no opportunities now, and it doesn’t mean you have to deploy all your capital or spend all your money right now. Berkshire recognizes that our cash and U.S. Treasuries are important assets, and they represent a huge opportunity. First, we must have a very clear understanding of what we’re investing in. Compared with technological evolution and rapid changes, what matters more is whether we understand the business—whether we understand the opportunity. More importantly, do we understand the risks involved? Second, we need a very clear view of future economic prospects—specifically, the outlook for the next 5 to 10 years. We must view this opportunity from a long-term perspective to judge where it is headed. Going even further, Berkshire intends to hold these investments forever. Capital always comes first. Berkshire will not rush to put capital into suboptimal opportunities. We want it to align with our principles. Then, as I said earlier, we will act decisively, move quickly, and invest substantial capital. (Source: BlockBeats)