&gt;It sounds crazy that it actually works but I&#x27;m not the one who is going to argue with markets.<p>It can be a great tactic if the businesses you build&#x2F;buy are the same your shareholders would buy with the dividends you&#x27;d pay out since you&#x27;ll save them some taxes. Since the mother company can also hope to add some value to the businesses it buys the end result can be quite interesting. Buffet&#x27;s Berkshire is based on this kind of setup.