By Daily Crux Editor Sean Goldsmith:
Warren Buffett's Berkshire Hathaway doubled its holdings of tax-free municipal bonds in nine months as record price swings pushed yields to "unthinkable" levels. Buffett was able to buy this debt on the cheap as many hedge funds and other institutional investors were forced to liquidate their positions to meet margin calls.
Muni bonds fell 5.1% in September 2008 - their biggest monthly loss - and yields reached a record two times the rate of comparable U.S. Treasuries in December.
Berkshire now holds $4.05 billion as of March 31, up from $2.05 billion on June 30, 2008.
Read full article...
More on Warren Buffett:
The 25 best Warren Buffett quotes of all time
Warren Buffett makes another huge stock option bet
The cheapest way to buy Warren Buffett's favorite stocks