Matthew Shiel

37%
Flag icon
From a risk standpoint, it is far safer to have earnings from ten diverse and uncorrelated utility operations that cover interest charges by, say, a 2:1 ratio than it is to have far greater coverage provided by a single utility.
Matthew Shiel
Although you may receive better coverage from a single utility, there is far less risk involved in investing in mutiple companies at the loss of more coverage.
The Essays of Warren Buffett: Lessons for Corporate America
Rate this book
Clear rating