Pretty interesting take on the put position, I never thought of this before. but perhaps this guy is missing that a SP500 futures distortion caused by arb selling would be offset by the program traders? http://seekingalpha.com/article/108089-buffett-serving-free-lunch-part-ii
Except for one thing: What on earth is going to stop Buffet's successors from hedging in front of the expiration of the puts? The point hinges on the fact that traders on the other end of the trade will manipulate the closing date. But Berkshire can anytime they want (say 1 month, 2 months before expiration) hedge and lock in any profit or loss to avoid such manipulation.