Why did Ajit Jain, Berkshire's most important employee, sell more than half his stake in the company last week?
Ajit Jain is just like a Sergeant in the Warren Buffet business empire but his recent action hinted trouble for the billionaire and his massive fortune. Recent reports reveal that Jain ended up selling off nearly half his stake in the company last week, and the reasons for the same are not entirely clear. Meanwhile, Berkshire Hathaway is reportedly mum on the issue, leading to potential alarm bells for the stock markets as well.
What could Ajit Jain's stake selling mean?
It is always notable when a company's top stakeholder sells off his or her stakes, and since this time it is Warren Buffet's Berkshire Hathaway, things are being taken much more seriously, as a lot could be at stake for the US stock markets, with this decision. Jain is currently positioned as the Vice Chairman of the top-tier company and did away with $139 million of Berkshire stock, which amounts to nearly 50% of his own stakes in the company, says a Motley Fool report.
The sudden step by the Vice Chairman could mean a lot is going on within the Berkshire Hathaway brackets, which may not be entirely known to the public yet. There are also strong chances that other investors of the company may follow suit and dump their stakes, which could mean more trouble for Warren Buffet's business.
Why is Ajit Jain the top man at Berkshire?
Ajit Jain led the company from the front, for nearly 38 years now, and has even been deemed to be more important in the company than Buffet himself. This is not something an analyst claimed, but Warren Buffet himself, who
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