Ready to Own a Piece of Warren Buffett's Empire? Here's Your Ultimate Guide to Becoming a Berkshire Hathaway Shareholder!
Have you ever dreamt of owning a piece of a company run by the legendary Warren Buffett, a man whose investment philosophy has made him one of the wealthiest people on the planet? Imagine becoming a part of the conglomerate that owns iconic brands like GEICO, Duracell, Dairy Queen, and BNSF Railway. If that thought excites you, then you've come to the right place. This comprehensive guide will walk you through every step of the journey, transforming you from an aspiring investor into a proud Berkshire Hathaway shareholder.
So, are you ready to embark on this journey and learn how to invest like the Oracle of Omaha himself? Let's dive in!
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| How To Be A Berkshire Hathaway Shareholder |
Step 1: Get to Know the Oracle of Omaha's Empire
Before you click the "buy" button, it's essential to understand exactly what you're investing in. Berkshire Hathaway (BRK) isn't just a single company; it's a massive, diversified holding company that owns and operates a vast collection of businesses and maintains a substantial portfolio of publicly traded stocks. When you buy a share of Berkshire Hathaway, you are essentially buying a stake in this incredible portfolio, which is managed by Warren Buffett and his team.
The Two Classes of Shares: A Crucial Choice
This is a key distinction that you must understand. Berkshire Hathaway has two classes of common stock:
Class A shares (Ticker: BRK.A): These are the original shares. They are famously and extraordinarily expensive. As of June 2025, one share of BRK.A is trading for over $729,000! They come with full voting rights, meaning each share entitles you to one vote on corporate matters. Due to their astronomical price, they are largely inaccessible to the average retail investor.
Class B shares (Ticker: BRK.B): These were created in 1996 through a 30-for-1 stock split to make the company more accessible to a wider range of investors. As of June 2025, a single BRK.B share trades for a much more affordable price of around $485. Each BRK.B share has 1/1,500th of the economic interest of a Class A share and 1/10,000th of the voting rights.
For nearly all retail investors, the Class B shares (BRK.B) are the practical and logical choice. Their performance is designed to track that of the Class A shares, just at a much lower price point. You are getting the same core investment, just in a more manageable package.
Step 2: Pave Your Path to the US Market
Since Berkshire Hathaway is listed on the New York Stock Exchange (NYSE), you cannot simply buy its shares on a typical Indian stock exchange like the NSE or BSE. You need a platform that provides access to the US stock market.
Finding the Right Brokerage Firm
As an investor in India, you have two primary options:
QuickTip: Focus on one paragraph at a time.
Direct Investment through an International Brokerage: This is the most common method. You need to open a trading account with a brokerage firm that allows Indian residents to invest in US stocks. Look for platforms that offer:
Low brokerage fees and commissions: Fees can eat into your returns. Look for platforms with competitive pricing or even zero commission on US stocks.
Fractional shares: This is a game-changing feature that allows you to buy a portion of a share. For example, instead of buying one full BRK.B share at $485, you could invest just $100 and own a fraction of that share. This is an excellent way to start small and build your position over time.
Easy fund transfer: Check for platforms with a smooth process for converting Indian Rupees (INR) to US Dollars (USD).
Regulatory compliance and security: Ensure the platform is regulated and your funds are secure.
Indirect Investment via Mutual Funds or ETFs: This is a hands-off approach. You can invest in Indian mutual funds or Exchange-Traded Funds (ETFs) that have a mandate to invest in global stocks, including US equities. While this won't make you a direct shareholder, it can give you exposure to Berkshire Hathaway if it is part of the fund's portfolio.
Step 3: Open and Fund Your International Trading Account
Once you've chosen your brokerage, the next steps are all about setting up your account.
Gathering Your Documents
This process is straightforward and involves a Know Your Customer (KYC) verification. You will typically need:
Proof of Identity: A valid PAN card or passport.
Proof of Address: Aadhaar card, Voter ID, or utility bill.
Bank Account Details: A linked Indian bank account from which you will transfer funds.
The brokerage's platform will guide you through the digital submission of these documents. The account activation can take anywhere from a few minutes to a few hours, depending on the platform.
The Funding Process: From INR to USD
After your account is active, you need to transfer funds from your Indian bank account to your US trading account. This process falls under the Liberalised Remittance Scheme (LRS) of the Reserve Bank of India (RBI), which allows Indian residents to remit up to $250,000 per financial year for various purposes, including overseas investments.
The Conversion: Your INR will be converted to USD at the prevailing exchange rate. Be mindful of the exchange rate and any foreign exchange fees charged by your bank or the brokerage.
The Transfer: You will typically initiate a wire transfer or use an integrated payment gateway provided by the brokerage. The funds can take a day or two to reflect in your US trading account.
Step 4: Place Your Order and Become a Shareholder!
This is the moment of truth! With your account funded with USD, you are ready to buy.
Searching for the Ticker
QuickTip: If you skimmed, go back for detail.
Log in to your brokerage account and use the search bar to find Berkshire Hathaway. Remember the ticker symbols:
For the expensive Class A: BRK.A
For the accessible Class B: BRK.B
Select BRK.B for your purchase.
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Understanding Order Types
When placing your order, you'll need to choose the order type:
Market Order: This is the simplest option. You place an order to buy shares at the best available market price right now. The trade will execute almost instantly.
Limit Order: This gives you more control. You set a specific price you are willing to pay for the share. For example, if BRK.B is trading at $485, you could set a limit order to buy it at $480. The order will only execute if the stock's price drops to that level.
For most long-term investors, a market order is sufficient, as short-term price fluctuations are less important than the long-term growth potential.
The Fractional Share Advantage
If you chose a brokerage that offers fractional shares, you don't have to buy a full share. Simply enter the amount you want to invest in USD (e.g., $100, $50, or even $1), and the platform will automatically calculate the fraction of the share you will own. This is a fantastic way to start your journey without a large initial investment.
Submit your order, and within seconds, you will receive a notification that your trade has been executed. Congratulations, you are now a Berkshire Hathaway shareholder!
Step 5: Embrace the Long-Term Vision
Becoming a Berkshire Hathaway shareholder isn't about day trading or chasing quick profits. It’s about adopting a long-term mindset. Warren Buffett’s core philosophy is to buy wonderful companies at a fair price and then hold them forever. Berkshire Hathaway itself is a testament to this principle.
Unlike most companies, Berkshire Hathaway does not pay a dividend. This is a deliberate choice by management, as Buffett believes he can reinvest the company’s earnings more effectively to generate greater long-term growth for shareholders. By holding the shares, you are trusting in this strategy of compounding capital over time. Monitor the company’s performance, attend the annual shareholder meeting (virtually!), and enjoy the journey as your investment grows alongside the company.
Tip: Be mindful — one idea at a time.
Frequently Asked Questions (FAQs)
How to buy Berkshire Hathaway stock in India?
To buy Berkshire Hathaway stock from India, you need to open an international trading account with a brokerage that provides access to the US stock market, such as Groww, INDmoney, or Angel One.
How to choose between Class A (BRK.A) and Class B (BRK.B) shares?
For almost all retail investors, the Class B (BRK.B) shares are the only practical option due to their significantly lower price (around $485 per share) compared to the Class A shares (over $729,000 per share). They offer the same underlying investment in the company's portfolio.
How to find a reliable US brokerage firm in India?
Look for a brokerage firm that is regulated, offers low or zero commissions on US stocks, provides a simple process for funding your account from India, and, most importantly, allows you to buy fractional shares.
How to transfer money from India to a US brokerage account?
You will typically use a wire transfer from your Indian bank account, converting your INR to USD under the RBI's Liberalised Remittance Scheme (LRS). The brokerage platform will provide you with the necessary account details for the transfer.
How to buy fractional shares of Berkshire Hathaway?
Tip: Read at your natural pace.
Many international brokerage platforms offer fractional share investing. You simply input the dollar amount you want to invest (e.g., $50 or $100), and the platform will buy a corresponding fraction of a BRK.B share for you.
How to check the current price of BRK.B?
You can check the live price of BRK.B on financial news websites, your brokerage's trading platform, or by searching for "BRK.B stock price" on Google.
How to understand the difference in voting rights?
While BRK.A shares have full voting rights, BRK.B shares have significantly fewer voting rights. However, for most individual investors, this difference is negligible as their stake is too small to influence corporate decisions.
How to deal with taxes on US stock investments for an Indian resident?
As an Indian investor, you will need to consider both US and Indian tax implications. You may need to file a W-8BEN form to claim tax treaty benefits. It is highly recommended to consult with a tax advisor specializing in international investments to ensure compliance.
How to start with a small amount?
The most effective way to start with a small amount is to use a brokerage that offers fractional shares, allowing you to invest as little as a few dollars at a time in BRK.B.
How to track my Berkshire Hathaway investment?
You can track your investment's performance and see key company updates directly on your brokerage's app or website. You can also follow financial news related to Berkshire Hathaway and its subsidiaries to stay informed.
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