
2008-Morning Session-BRK Annual Shareholders Meeting
Berkshire Hathaway Annual Shareholder Meetings (since 1994)
00:00
Risks of Overleveraging and Concentrated Investments
The insight highlights the risks associated with overleveraging investments, as exemplified by the case of LTCM where the individuals put an excessively high percentage of their net worth into certain investments. This approach significantly increased the risk and led to substantial losses. The speaker also points out the concentration of investments in a single asset, emphasizing the importance of diversification and prudent risk management in investing.
Transcript
Play full episode