Warren Buffett's warrants to buy over 43 million shares of Goldman Sachs at $115 each are almost back "in the money."
MarketWatch's Alistair Barr reminds us that Goldman's rally in recent months has greatly increased the potential value of those warrants.
They were essentially thrown into the deal as a sweetener when Berkshire Hathaway bought $5 billion worth of preferred stock from the firm at the height of the credit crisis last fall.
Buffett's main objective was the 10 percent guaranteed annual return from the preferred shares. In his letter to Berkshire shareholders last month, he called the equity participation a "bonus."
Back on September 23, the day Buffett's multi-billion dollar "vote of confidence" in Goldman was announced, shares of the firm closed at $125.05. Three days later, they finished just short of $138.