Berkshire Annual Letter 1997 (Part 2)
When Warren Buffett cannot find a well-run and sensibly-priced business with good economics, he will put his money into very short term instruments. While these investments are likely to result in profits, they could also sometimes lead to losses of substantial size.
On the other hand, an investment into a wonderful business bought at an attraction price WILL always make money. It is only a matter of when.
At year end 1997, Berkshire had three non-traditional positions.