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3 Stocks Warren Buffett Just Sold

By U.S. News & World Report

Warren Buffett followers got their quarterly glimpse into the mind of the Oracle of Omaha after the market closed Monday. Berkshire Hathaway Inc (ticker: BRK/A, BRK/B) filed its quarterly holdings report with the Securities and Exchange Commission listing all the stocks that Buffett bought and sold in the first quarter. Most of the revelations didn’t surprise Buffett followers, such as his aggressive buying of Apple Inc ( AAPL).

But with the market surging to record highs in 2017, Buffett also dialed back his investment in his three more well-known holdings.

Buffett revealed at Berkshire’s annual shareholder meeting in Omaha last weekend that he has been selling shares of IBM ( IBM). In fact, Buffett reduced Berkshire’s IBM holding 21 percent in the first quarter.

[See: 10 Skills the Best Investors Have.]

“I don’t value IBM the same way that I did six years ago when I started buying,” Buffett said at the shareholder meeting. “I think if you look back at what they were projecting and how they thought the business would develop, I would say what they’ve run into is some pretty tough competitors.”

Besides selling IBM, Buffett also dumped Berkshire’s entire $8.9 million stake in Twenty-First Century Fox ( FOXA). Although Buffett hasn’t spoken about this decision, the company is confronting a number of challenges at the moment. After losing its CEO Roger Ailes last summer amid a flurry of sexual harassment charges, Fox News recently fired its top on-air talent, Bill O’Reilly, because of similar allegations. Plus, cable news networks face an increasingly uncertain future in an era of cord cutting and streaming TV competition.

Perhaps the most surprising Buffett move was his sale of Delta Air Lines ( DAL). Buffett has been buying up huge stakes in Delta, Southwest Airlines Co. ( LUV), American Airlines Group ( AAL) and United Continental Holdings ( UAL) since the third quarter last year. He continued buying airline shares this year, upping Berkshire’s stakes in American 8 percent and Southwest 10 percent. With Delta, though, he cut his stake 8 percent.

Buffett once famously called airlines a “death trap” for investors, but he told shareholders in Omaha that the industry now uses seatsmuch more efficiently.

Buffett didn’t mention Delta specifically at the shareholder meeting. Over the past year, Delta shares have performed the worst of the four airline stocks Buffett invests in.

[See: 7 of the Best Stocks to Buy for 2017.]

Even after the first-quarter sale, Delta and Southwest remain Buffett’s two largest airline investments, and Berkshire still holds $2 billion in each of the four airlines.

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3 Stocks Warren Buffett Just Sold originally appeared on usnews.com

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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