Greg Abel Says Japan's High Bond Yields Are Not a Challenge for Berkshire's Trading House Stakes

According to CNBC, Berkshire Hathaway CEO Greg Abel said rising Japanese bond yields are not a fundamental challenge for the major trading houses in which the company holds stakes. Speaking on CNBC's "Squawk Box" on Wednesday, Abel said none of the trading companies raised the issue as a major concern and added that Japan's yields remain relatively modest compared with bond yields in other markets. Abel said Berkshire Hathaway has stakes of more than 10% in five of Japan's largest trading houses — Itochu, Marubeni, Mitsubishi, Mitsui and Sumitomo — and that the company expects to continue raising debt in yen as appropriate despite the higher yields. He also said Berkshire received permission from each of the five firms to own more than 10% in each, six years after the initial investment, and reiterated that the company still sees value in the holdings.