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Financial trading news: Buffett makes investment in Swiss Re

Financial trading news: Buffett makes investment in Swiss Re
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Superinvestor Warren Buffett is to invest the equivalent of around £1.79 billion in Swiss Re, stock market investors may be interested to learn.

Mr Buffett currently owns a three per cent stake in the Swiss Re, which is the second largest reinsurer in the world.

Recently, the firm suprised many by announcing a third-quarter loss in November.

Jacques Aigrain, chief executive of Swiss Re, commented: "We are disappointed with out overall results in 2008, but our core business is preforming well."

In addition to the Swiss Re investment, Mr Buffett has injected $300 million (£207 million) into the motorcycle manufacturer Harley-Davidson.

Ed Aaron of RBC Capital Market said: "Harley's finance arm needs capital in a highly constrained credit environment."

In return for his investment, Mr Buffett will receive an annual dividend of 15 per cent.

The investment is due to mature in 2014.ADNFCR-1681-ID-19011555-ADNFCR