Berkshire Hathaway: Understanding the Differences Between Class A and Class B Shares

Price Divergence: A Key Distinction

The most prominent difference between Berkshire Hathaway's Class A (BRKA) and Class B (BRKB) shares lies in their price. As of July 17, 2023, Class A shares commanded a price of $523,500, while Class B shares closed at a much lower price of $352.60.

Beyond Price: Additional Factors

While price is a major consideration, it's not the only difference between the two share classes. Class A shares carry with them greater voting power, with each share translating to one vote. Class B shares, on the other hand, have a limited voting power, with each share only holding 1/100th of a vote.

Furthermore, Class A shares are convertible into Class B shares on a 1:1,500 basis. This means that one Class A share can be exchanged for 1,500 Class B shares. However, Class B shares are not convertible into Class A shares.