-- Yes, Buffett's math on U.S. banks in correct. They are in the best shape ever and don't pose any risk to the U.S. economy.
-- The risk here is that they might return to bad behavior but thinks that will not happen.
-- Banks' balance sheets will be more conservative and returns will be lower going forward, but current valuations reflect too much pessimism and look very cheap.
Credit and source: Bloomberg, www.bloomberg.com
Here is the video:
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