Of course! Let's dive into the world of investing and learn how you can buy a piece of one of the world's most renowned companies, Berkshire Hathaway.
How to Buy Berkshire Hathaway Stock: A Step-by-Step Guide
Ever wondered how to own a part of Warren Buffett's legendary company? It might seem intimidating, especially with the eye-watering price of its Class A shares. But here's a secret: it's more accessible than you think! This guide will walk you through the entire process, from understanding the different share classes to placing your first trade.
Let's begin your journey to becoming a Berkshire Hathaway shareholder!
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| How Can You Buy Berkshire Hathaway Stock |
Step 1: Understand the Two Classes of Berkshire Hathaway Stock (BRK.A and BRK.B)
Before you do anything else, you need to know that Berkshire Hathaway has two types of stock: Class A and Class B. This is a crucial distinction for any investor.
QuickTip: Skip distractions — focus on the words.
Class A Shares (BRK.A): This is the stock you often hear about in the news with a price tag in the hundreds of thousands of dollars. As of June 2025, one share of BRK.A costs over $700,000. These shares have full voting rights, giving the holder one vote per share. They are the original shares of the company and have never split. This is why they are so expensive!
Class B Shares (BRK.B): Introduced in 1996, these shares were created to be more accessible to a wider range of investors. Their price is a tiny fraction of the Class A shares, and they have 1/10,000th of the voting rights of a Class A share. For the vast majority of individual investors, the BRK.B shares are the only practical option.
Key Takeaway: The Class B shares (BRK.B) represent ownership in the same company and track its performance in the same way. The main difference is the price and the voting rights. For a beginner, always look for the BRK.B ticker.
Step 2: Open and Fund a Brokerage Account
To buy any stock, including Berkshire Hathaway, you need a brokerage account. This is a special type of account that allows you to buy and sell securities like stocks, bonds, and mutual funds.
Choose a Reputable Brokerage: There are many online brokerage firms available today, offering low or even zero-commission trades. Look for a broker that is regulated and offers a user-friendly platform.
For investors in India, there are platforms like Groww and INDmoney that allow you to invest in US stocks.
For investors in the US and globally, popular options include Charles Schwab, Fidelity, E-Trade, and Robinhood.
Complete the Account Opening Process: This usually involves providing personal information, such as your name, address, date of birth, and government-issued ID (like a PAN or Aadhaar card in India, or a Social Security number in the US).
Fund Your Account: Once your account is approved, you'll need to transfer money into it from your bank account. This can be done via a bank transfer (ACH), wire transfer, or other electronic methods.
Step 3: Research and Decide on Your Investment Strategy
Before you hit the "buy" button, it's wise to do some research and think about your investment goals.
Reminder: Revisit older posts — they stay useful.
Look at Berkshire Hathaway's Fundamentals: Even though it's a famous company, it's a good practice to look at its financial reports, revenue, and earnings. You can find this information on the company's investor relations website.
Decide on Your Investment Amount: Consider how much you are willing to invest. A single share of BRK.B has a price, but many brokerages now offer fractional shares.
What are fractional shares? This is a game-changer for new investors. It allows you to buy a portion of a share. For example, if BRK.B costs $485 per share, you could invest just $100 and buy a fraction of that share. This makes investing in expensive stocks like Berkshire Hathaway incredibly accessible.
Consider Your Risk Tolerance: While Berkshire Hathaway is a stable and diversified company, no stock is without risk. Evaluate if this investment aligns with your overall portfolio and financial goals.
Step 4: Place Your Order
This is the exciting part! You're ready to buy.
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Log in to Your Brokerage Account: Navigate to the trading or investment platform.
Search for the Stock: Use the ticker symbol BRK.B. Be careful not to search for BRK.A unless you have a substantial amount of capital to invest.
Choose Your Order Type: The two most common order types are:
Market Order: This buys the stock at the best available price in the market right away. This is simple and good for beginners, but the price might fluctuate slightly from the last quoted price.
Limit Order: This allows you to set a specific price at which you want to buy the stock. The order will only be executed if the stock price reaches your specified limit. This gives you more control over the price you pay.
Enter the Amount: Decide whether you want to buy a specific number of shares or a specific dollar amount (if your broker offers fractional shares).
Review and Submit: Double-check all the details of your order before you submit it. Once you click "buy," the transaction will be processed.
Step 5: Monitor Your Investment
Congratulations, you are now a shareholder of Berkshire Hathaway!
Track Your Performance: Keep an eye on the stock's performance through your brokerage account or financial news websites.
Stay Informed: Follow news about Berkshire Hathaway, its subsidiaries, and its investments. Warren Buffett's annual letter to shareholders is a must-read for any investor in the company.
Review Regularly: Periodically review your investment to ensure it still aligns with your financial goals.
Investing is a long-term game, and patience is a virtue, especially with a company like Berkshire Hathaway.
Tip: Skim once, study twice.
10 Related FAQs
Here are some quick answers to common questions about buying Berkshire Hathaway stock.
1. How to buy Berkshire Hathaway Class A (BRK.A) stock? You can buy BRK.A stock through a brokerage account, just like any other stock, but you will need a substantial amount of capital as the price per share is very high.
2. How to buy fractional shares of Berkshire Hathaway stock? Most modern online brokerages, like Robinhood, Fidelity, and INDmoney, offer fractional shares. You can simply specify the dollar amount you want to invest, and the platform will buy the corresponding fraction of a share for you.
3. How to invest in Berkshire Hathaway from India? Indian investors can buy Berkshire Hathaway stock by opening an international trading account with platforms like Groww or INDmoney, which provide access to US stock markets.
4. How to find the ticker symbol for Berkshire Hathaway stock? The ticker symbol for Berkshire Hathaway Class A is BRK.A, and for Class B, it is BRK.B.
QuickTip: Revisit key lines for better recall.
5. How to buy Berkshire Hathaway stock with a small amount of money? The most effective way is to use a brokerage that offers fractional shares, allowing you to invest a small dollar amount instead of buying a whole share.
6. How to invest in Berkshire Hathaway indirectly? You can invest indirectly by purchasing shares of an index fund or ETF (Exchange-Traded Fund) that has Berkshire Hathaway as one of its holdings, such as the S&P 500 index fund.
7. How to research Berkshire Hathaway before buying? You can research the company by reading its annual reports and quarterly reports, which are available on its official investor relations website, and by following reliable financial news sources.
8. How to know if Berkshire Hathaway is a good investment for a beginner? Berkshire Hathaway is often considered a good long-term investment due to its diversification and stable management. However, it's essential for a beginner to understand their own risk tolerance and investment goals before investing.
9. How to sell Berkshire Hathaway stock? You can sell your shares through your brokerage account by placing a sell order (either a market order or a limit order), just like you did when you bought them.
10. How to choose between BRK.A and BRK.B? For the average retail investor, BRK.B is the logical choice due to its much lower price and high liquidity. BRK.A is primarily for institutional investors or those with a very large capital base who also desire the voting rights.
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