In some quiet corner of Omaha, Nebraska, there sits the largest private collection of Treasury bills ever assembled in the history of capitalism.
If it were physical, and in the highest denomination ever made to the public ($10,000 bill), it would weigh nearly 84,000 pounds – requiring a logistic operation on par with the national mint.
However, for the last four decades, T-bills have been stored in a book-entry system, which is lucky for Greg Abel, Berkshire Hathaway’s (NYSE:BRK) new CEO. They’re merely a digital entry on the Federal Reserve’s Fedwire system.
Yet avoiding the logistics still doesn’t free Abel from the key question: what to do with the money?
The Cash Fortress
Berkshire is still selling more stocks than it buys. According to Kingswell, the conglomerate has now been a net seller for 14 consecutive quarters, even as it sits on a concentrated portfolio dominated by Apple, American Express, Bank of America, Coca-Cola, and Chevron.
Berkshire ended the first quarter with a record $380.2 billion cash position, towering over its $288 billion …
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