In recent weeks, Berkshire's Class B stock has been marked down and placed on the discount rack. Are there opportunities to profit from this situation?
I used to take advantage of the spreads in a similar fashion also using an IRA account. Several years ago my broker (Fidelity) stopped allowing the A shares to be bought/sold via computer. That is, a phone call was required. This slowed the process, so I opted to not participate due to the possibility that the price could move faster than I could respond. That is, it increased the odds that the spread could move against the trade.
What brokerage service do you use?
By the way, Mr. Buffett was the one who put the idea in my head. At some point after the creation of the A's and B's he made the comment that this could allow for an arbitrage opportunity.
I used to take advantage of the spreads in a similar fashion also using an IRA account. Several years ago my broker (Fidelity) stopped allowing the A shares to be bought/sold via computer. That is, a phone call was required. This slowed the process, so I opted to not participate due to the possibility that the price could move faster than I could respond. That is, it increased the odds that the spread could move against the trade.
What brokerage service do you use?
By the way, Mr. Buffett was the one who put the idea in my head. At some point after the creation of the A's and B's he made the comment that this could allow for an arbitrage opportunity.
Would you have to sell to covert from A to B? Could your broker handle since it’s allowed under the prospectus?