Warren Buffett doesn't hold back in times of need. The American billionaire, CEO of Berkshire Hathaway, has announced that he will spend five billion dollars to buy Bank of America shares, in order to improve the institution's fortunes. And hopefully make a little money when the financial storm passes. For his part, the bank communicated that Bufffett will acquire 50 preferred securities at 100 dollars each, with an annual coupon of 6%.
Unsurprisingly, such an announcement had a dynamite effect on the US stock market, causing Bank of America to gain as much as 22% just before trading opened. In the midst of the crisis, Buffet had made the same bet for the benefit of Goldman Sachs, earning over a billion dollars.
