Reginal Thomas
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Reginal Thomas in reginal thomas,

Warren Buffet Doubled His 5 Billion Dollar Invest With BOA

In 2011 Warren Buffet invested $5 billion into Bank Of America (NYSE: BAC) and the banks shared have gone up more than 100%, giving Warren a $5.27 billion dollar profit in two years.

What's more interesting is that Warren Buffet's Berkshire Hathaway Inc (NYSE: BRK) gets deals that allow it to purchase Bank of America shares at a discount of $7.14 while everyone else is buying it for $14.36, Warren is filthy rich and still gets a discount on his deals! 

But its gets even sweeter for Warren, this deal is locked in for the next decade with one huge stipulation involved. If Bank of American wants to buy its shares back from Berkshire Hathaway at any point during this ten year period, they will have to pay a 5% premium on every share. Can you imagine having the power Warren Buffets yeilds, he knows him buying shares in any company is like giving that company a stamp of approaval for teh rest of the investing world, so much so that he can charge a company for holding their shares. GENIUS