If you had 11 fingers, you could count the number of AAA-rated corporate borrowers on one hand. There were actually only five such companies until Microsoft
Mr. Market hasn't responded enthusiastically to these moves, but Mr. Buffett has. Warren Buffett's own Berkshire Hathaway
Berkshire is again buying "perpetual" preferred stock, yielding a fat 10% dividend. However, this is callable at a 10% premium after three years. The company also gets five-year warrants to buy $3 billion worth of GE shares at $22.25 each, about a 10% discount to the price as I write these words.
Fools, these purchases by Buffett are not symbolic. The man is not simply demonstrating good faith in the American economy. He is out to make massive returns for his shareholders.
As a small investor, you can't make investments with as many perks attached. But you can buy big winners that are far too small to move the needle at a giant like Berkshire Hathaway. And the bargains are bountiful out there. Here are five of my top picks to get you started.
Fool contributor Toby Shute doesn't have a position in any company mentioned. Constellation is a former Income Investor pick. The Motley Fool owns shares of Berkshire Hathaway. The Fool's disclosure policy thought you should know all that.