1/ Thread: Washington post case study

One of my favorite investment story’s and WB’s best investments (100x baggers including dividend). Let’s unpack driver of return and some lessons we can learn to today’s monopolies 2/ Berkshire acquired $11M stakes in the Post in early 1973, WB joined the board in the fall of 1974. According to Buffett's 1984 speech, in 1973, Mr. Market was offering to sell the Post for $80M while you could sell the Post’s assets to any private buyer for $400 million

1/ Thread - IRR fallacy: IRR is one of the most abused and misunderstood metrics in finance.

Used for false marketing by PE GPs and misused even among experienced LPs.

If EBITDA is bullshit earning, IRR is bullshit return.

#IRR #EBITDA 2/ Many claim Buffett is “pretty good private equity manager” who happened to structure permanent equity and compound over long period.

Well, let’s examine two cases why 20% compounded return and 20% IRR by PE funds are just different animals

#IRR