Tuesday, May 28, 2024
HomeFinanceBuffett's $5 FedEx Folly: The Quirkiest Bet Settlement in College Football

Buffett’s $5 FedEx Folly: The Quirkiest Bet Settlement in College Football

For those who dream of Warren Buffett diving into the world of crypto, it seems the Oracle of Omaha isn’t ready just yet. Instead of exploring digital transactions, Buffett recently settled a wager in one of the most Buffett-esque ways: by sending a $5 bill through FedEx.

The context? Before the start of this year’s college football season, Buffett and Chevron CEO Mike Wirth shook hands (perhaps virtually) on a bet concerning the game between the Nebraska Cornhuskers and the Colorado Buffaloes. For those not in the know, the Cornhuskers represent Buffett’s beloved home state, while the Buffaloes fly the flag for Wirth’s alma mater.

Considering that Buffett’s Berkshire Hathaway has a hefty $20 billion stake in Chevron, amounting to about 6% of the company, this friendly wager became a fun snippet in the chronicles of billionaire bets. Andy Serwer, Barron’s editor-at-large, shared an email from Buffett detailing the aftermath of the bet, “After Nebraska lost, I sent my $5 by Federal Express. He won fair and square. He had no inside knowledge about Colorado. Fortunately, I had $5 in my wallet that had been untouched for decades.”

Buffett, ever the jester, added, “I have $5 in my budget for football in 2024. There’s no fool like an old fool.”

Wirth’s side of the story is equally entertaining. Ecstatic about Colorado’s revival this season under their new coach, Deion Sanders, he expressed joy at both the team’s performance and having Berkshire Hathaway as a shareholder. “Finding a FedEx package from Warren on my desk,” Wirth remarked, “is just a little icing on the cake.”

Though Buffett’s method might raise eyebrows given today’s technological era, his choice seems quite on-brand. While he held onto a flip phone way into the smartphone era, he’s not a complete stranger to the digital financial ecosystem. After all, Berkshire is the leading shareholder of giants like American Express and Bank of America. It seems the iconic investor preferred to gift Wirth a tangible memento of their wager, rather than a mere transaction notification.

So, while Berkshire’s coffers brim with an almost record-breaking $147 billion, Buffett continues to remind us of the simple pleasures, like mailing a decades-old $5 bill. In the dynamic world of investments, it’s these quirky tales that make the journey memorable.