Ann: Update - Notification of buy-back - BRK, page-16

Interesting tweet however when talking about capital allocation he misses a key point - growth. A company has 2 uses for is cashflows in that it can either reinvest in growing the business or distribute to shareholders.

The growth / income split is dependent on where a company is at in its lifecycle. Early stage companies will invest 100% of their cashflow in growth to grow future cashflows , the more mature the company the more cashflow gets redistributed back to shareholders.

Investors invest in early stage growth companies on the expectation that future cashflows will grow significantly and will be eventually paid back to investors via BB, dividends or capital returns.