Warren Buffett has one man to thank for Berkshire Hathaway Inc.’s BRK.A $29 billion windfall in 2017: President Donald Trump. The Omaha billionaire backed Mr. Trump’s opponent Hillary Clinton during the 2016 presidential campaign. But new tax cuts the president signed into law last December provided Berkshire with the sizable one-time gain that helped inflate annual profits to nearly $45 billion.
My take: Warren Buffett’s backing of Hillary Clinton was the single worst bet this legendary investor ever played. His analysis was completely wrong. The native and resident of Omaha — despite not being in the liberal dominant coastal areas — couldn’t see the problems main street Americans were facing. He couldn’t foresee the impact of the economy booster plans candidate Trump was proposing. As a result of president Trump’s growth agenda, Buffett has become wealthier and his firm has posted massive profits that he could distribute to his shareholders or increase his employee salaries (or he could donate to democratic candidates).