Buffett sold a large portion of his stake in Munich Re (HAM:MUV2) in 2015 citing a terrible outlook for the reinsurance business. Munich Re’s stock in October 2010 started around $103.65 per share, but Buffett’s annual letter from that year showed that he paid roughly $150 per share for the entire 19,259,600-share holding with a total cost of $2.896 billion. At his first reduction, from 11.8% at the end of 2014 to 9.7% on Sept. 28, 2015, shares traded for near $165, giving Berkshire a 10% gain. “The reinsurance business is not as good as it was,” Buffett said in May during his annual shareholder meeting. “What was a very lucrative business is no longer a very lucrative business going forward,” he said.

Source: Forbes March 21, 2017 21:56 UTC