Investing in a legendary company like Berkshire Hathaway, led by the iconic Warren Buffett, is a goal for many investors. However, the process, especially from India, requires a clear understanding of the steps involved. This comprehensive guide will walk you through everything you need to know to buy Berkshire Hathaway stock, with a focus on Indian investors.
So, are you ready to embark on a journey to own a piece of a company with a rich history of value investing? Let's dive in!
Understanding Berkshire Hathaway's Stock: Class A vs. Class B
Before you even think about buying, you need to know that Berkshire Hathaway offers two classes of stock:
Berkshire Hathaway Class A (BRK.A): This is the original, highly-priced stock. As of June 2025, a single share of BRK.A is worth several lakhs of rupees. Warren Buffett has famously refused to split this stock, believing its high price attracts long-term, value-oriented investors. A single BRK.A share has 10,000 times the voting rights of a BRK.B share.
Berkshire Hathaway Class B (BRK.B): Introduced in 1996, this is the "affordable" version. It trades at a much lower price and offers a more accessible entry point for retail investors. While it has fewer voting rights, its performance is closely tied to the Class A shares. The B shares did have a 50-to-1 stock split in 2010 to make them even more accessible.
For the average retail investor in India, BRK.B is the practical and most common choice. Unless you have an exceptionally large amount of capital to invest, your focus should be on acquiring BRK.B shares.
Tip: Revisit this page tomorrow to reinforce memory.
 |
| How Can I Buy Berkshire Hathaway Stock |
Step 1: Open a Demat and Trading Account for International Stocks
To buy any stock, including those listed on foreign exchanges like the NYSE, you need a trading and Demat account. For buying international stocks from India, you'll need a specialized account that allows for overseas investments.
Choose a Broker: You have two main options:
Indian Brokers with International Trading Facilities: Several Indian stockbrokers have partnerships or dedicated platforms that allow you to invest in US stocks. This can be a convenient option as you are dealing with a local entity.
International Brokers: You can also open an account directly with a foreign brokerage firm that operates in India. These platforms often provide direct access to a wider range of global markets. Interactive Brokers is a popular choice among Indian investors for international trading.
Documentation and KYC: To open an account, you'll need to complete a Know Your Customer (KYC) process. Keep the following documents handy:
PAN Card (mandatory)
Proof of Address (Aadhaar Card, Voter ID, Passport, etc.)
Proof of Identity (Aadhaar Card, Driving License, Passport, etc.)
Bank Account Details (Cancelled cheque or bank statement)
Your live photograph and signature.
The Online Process: Most brokers have a completely digital and paperless account opening process. You will typically:
Fill out an online application form.
Upload the required documents.
Complete an in-person verification (IPV), which is often done through a short video recording.
E-sign the documents using your Aadhaar-registered mobile number.
Once your application is verified, your Demat and trading accounts will be activated.
Step 2: Fund Your Trading Account
Now that your account is ready, you need to transfer funds to it. This involves converting your Indian Rupees (INR) to US Dollars (USD) to buy the US-listed stock.
Tip: The details are worth a second look.
Liberalised Remittance Scheme (LRS): The Reserve Bank of India (RBI) has a scheme called the Liberalised Remittance Scheme (LRS) that allows resident Indians to remit up to $250,000 per financial year for various purposes, including investing in foreign stocks.
Fund Transfer: Your broker will provide you with a way to transfer funds from your Indian bank account to your trading account. This process usually involves filling out a remittance form and can take a few business days. Be aware of the exchange rate and any foreign exchange conversion fees charged by your bank or broker.
Tax Collected at Source (TCS): Remember that a 20% TCS is applicable on funds remitted under LRS if the total remittance for the financial year exceeds ₹7 lakh. This TCS can be claimed as a refund when you file your Income Tax Return (ITR).
Step 3: Place Your Buy Order for Berkshire Hathaway Stock
With funds in your account, you are ready to buy!
 |
Log in to your trading platform: Access your broker's trading platform (web or mobile app).
Search for the stock: Use the ticker symbol to find the correct Berkshire Hathaway stock.
For Class A: BRK.A
For Class B: BRK.B
Choose your order type:
Market Order: This will buy the stock at the best available price in the market immediately. Be careful with this, as prices can fluctuate rapidly.
Limit Order: This allows you to set a specific price you are willing to pay for the stock. The order will only be executed if the stock price reaches your specified limit or a better price. This is a safer option for investors who want to control their purchase price.
Enter the quantity: Specify the number of shares you want to buy. Remember that with fractional share trading offered by some platforms, you might be able to buy a part of a share, which is a great option for high-priced stocks like BRK.B.
Review and confirm: Double-check all the details of your order before confirming.
Step 4: Monitor Your Investment and Tax Obligations
Congratulations! You are now a shareholder in Berkshire Hathaway. But the journey doesn't end there.
QuickTip: Pause before scrolling further.
Track your portfolio: Keep an eye on your investment's performance through your trading platform.
Understand tax implications:
Capital Gains Tax: When you sell your shares, any profit you make is considered a capital gain. The holding period for foreign shares to be considered "long-term" for tax purposes is 24 months or more.
Short-Term Capital Gains (STCG): If you sell the shares within 24 months, the gains are added to your total income and taxed according to your income tax slab rate.
Long-Term Capital Gains (LTCG): If you sell after holding for more than 24 months, the gains are taxed at 12.5% (plus applicable surcharge and cess).
Dividend Income: Berkshire Hathaway does not pay dividends, which is a key part of Buffett's investment strategy. However, if you invest in other US stocks that do, you need to be aware that dividend income from foreign stocks is taxable in India.
Reporting Foreign Assets: As a resident Indian, you are required to disclose all your foreign assets, including stocks, in your Income Tax Return (ITR).
Double Taxation Avoidance Agreement (DTAA): India has a DTAA with the US. This can help you avoid paying tax on the same income in both countries. You may be able to claim a credit for the tax paid in the US while filing your ITR in India. It is highly recommended to consult a tax professional for guidance on these matters.
Frequently Asked Questions (FAQs)
Here are 10 related FAQ questions to help you further on your journey:
How to open a Demat account in India for US stocks? You can open a Demat and trading account with a SEBI-registered Indian broker that provides international trading facilities or with an international broker that operates in India. The process is typically online and requires submitting KYC documents like your PAN card and address proof.
How to transfer money from my Indian bank account to a US trading account? You can transfer funds under the Liberalised Remittance Scheme (LRS) through your bank or through the broker's platform. The amount is converted from INR to USD.
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 is BRK.B. You can search for these symbols on your trading platform.
QuickTip: Look for lists — they simplify complex points.
How to calculate capital gains tax on US stocks in India? The capital gains are calculated based on the difference between the sale price and the purchase price, converted into INR at the time of the transaction. The tax rate depends on whether the gain is short-term (held for less than 24 months) or long-term (held for 24 months or more).
How to know if I can buy fractional shares of BRK.B? Not all brokers offer fractional share trading. You need to check with your chosen brokerage platform if they support this feature, which allows you to buy a fraction of a stock.
How to track the performance of my Berkshire Hathaway stock? You can track the performance of your shares through your broker's trading platform, or by using financial news websites and apps that provide real-time stock prices.
How to choose between Berkshire Hathaway Class A and Class B shares? For most retail investors, the Class B shares (BRK.B) are the only practical option due to the extremely high price of the Class A shares (BRK.A). The Class B shares offer exposure to the same business at an affordable price point.
How to claim the TCS paid on foreign remittance? The TCS paid on your remittance under LRS can be claimed as a credit when you file your Income Tax Return (ITR) in India.
How to sell Berkshire Hathaway stock? Similar to buying, you can place a sell order through your trading platform. You can choose a market order to sell at the current price or a limit order to sell at a specific price.
How to check if my chosen broker is regulated for international trading? You should always choose a broker that is regulated by the Securities and Exchange Board of India (SEBI) and/or a well-known international regulator like the US Securities and Exchange Commission (SEC). This information is usually available on the broker's website.
 |
