What Does Berkshire Hathaway Class B (BRKB) Do?

Berkshire Hathaway Class B (BRKB) is a diversified American holding company that has delivered exceptional long-term performance under Warren Buffett's stewardship since 1965. Known as the "B shares," BRKB was introduced to the market in 1996 and is economically equivalent to the much higher-priced Class A shares (BRK.A) at a ratio of 1/1500. This structure was designed to make Berkshire accessible to individual investors.

What Is It and What Does It Do?

Berkshire Hathaway operates across two primary asset categories:

The essence of Berkshire's business model is its use of "float": its insurance companies (Geico and others) collect premiums from policyholders, and before claims are paid, Buffett invests those funds in long-term stocks and businesses.

Berkshire Hathaway holding composition — insurance, railroad, energy, and stock portfolio shown as pie slices

Why Does It Matter?

Berkshire Hathaway is one of the most studied companies in modern investment history:

• Long-term performance: Compound returns beating the S&P 500 over decades stand as concrete evidence of Buffett's "value investing" philosophy.
• Management philosophy: Annual shareholder letters have become reference texts on capital allocation and business management.
• Cash management: The enormous cash reserves Berkshire holds (at times exceeding $160 billion) reflect Buffett's view on market valuations — Berkshire accumulates cash when markets appear expensive.
• Management transition: In 2023, Greg Abel was announced as Buffett's successor, a signal that reduced the company's long-term management risk.

Risks

• Management transition: The extent to which Warren Buffett's personal influence over corporate culture and investment discipline will be preserved under Greg Abel remains uncertain.
• Scale disadvantage: Berkshire is now so large that individual investment decisions may not produce a meaningful impact — the classic "size is the enemy of performance" problem.
• Apple concentration: A significant portion of the stock portfolio is concentrated in Apple; a negative development there would affect Berkshire disproportionately.
• Insurance catastrophe risk: Natural disasters can lead to major claims payouts at Geico and the other insurance lines.

How is BRKB traded?

The underlying (BRKB) trades on its own market during that market's session hours.

BRKB price and technical analysis →

COINOTAG Perspective

Berkshire Hathaway Class B bridges a unique gap between "passive fund-like returns" and "active holding company management." The stability embedded in its diversified holding structure and the insurance float model makes Berkshire attractive to investors seeking sound capital accumulation rather than speculative growth. For investors taking a BRKB position via the tokenized perp, the core expectation is a market-cycle-resilient, low-volatility store of value.