Thanks for that Phaedrus. Some think that Buffett invests always along the lines of one investing model, as outlined in those Buffett books. But this isn't true. Buffett frequently takes advantage of short term arbitrage opportunities. For example after a takeover offer is announced he often buys into the takeover target. Often the returns on these plays are quite small in percentage terms. But the high certainty of a result, Berkshire's scale and the ability to repeat the process on a subsequent takeover target means that from an annual perspective, these deals can be lucrative. That helps explain many of those short term deals identified in the research paper.Originally Posted by Phaedrus
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