I share my highlights of the current portfolio holdings of Warren Buffett, Charlie Munger, Mohnish Pabrai, Guy Spier, Li Lu, and Greg Alexander as of Q3 2021. I like observing these investors because they are compounding machines!
-Superinvestors’ Portfolios Toward The End of 2021
-Warren Buffett & Berkshire Hathaway Sitting In Cash
-Charlie Munger’s Daily Journal Bought Alibaba
-Mohnish Pabrai Reduces Alibaba
-Guy Spier May Have Bought Prosus (Indirectly Tencent)?
-Greg Alexander’s 2nd Biggest Holding is BABA
-Li Lu Bought Berkshire Hathaway
This year I learned from a study that Warren Buffett is actually more of a large cap growth investor rather than a value investor that many peg him as. He’s been hoarding lots of cash (at least $149 billion) while keeping his investment moves to a minimum in 2021. Arguably the most exciting activity Buffett has been doing lately is buying back Berkshire Hathaway shares.
While Charlie Munger stole the show by buying Alibaba in early 2021, other superinvestors like Mohnish Pabrai, Guy Spier, and Greg Alexander also bought BABA in 2021. But then Mohnish Pabrai surprised a lot of investors by selling 78% of his Alibaba position. I’ve learned that Pabrai really likes spawner businesses such as Tencent, but I haven’t found any confirming information if he’s made any moves toward that company.
However, Guy Spier may have indirectly bought Tencent by buying Prosus according to a paywall CNBC video and a Marketwatch article. If that’s true, I’m also trying to figure out which ticker symbol of Prosus he may have bought. Or if he or Pabrai may have bought Prosus’s parent company, Naspers. We might not find out until Q4 2021 filings come out sometime in February 2022, perhaps.
It’s fascinating to me how one of Buffett’s favorite investors, Greg Alexander, has Alibaba as his second top holding in the Conifer Management portfolio. There’s not a lot information available about Greg Alexander, but I’ve gathered what I could learn about him.
Li Lu is another favorite of Buffett and especially Charlie Munger, and interestingly Li Lu bought Berkshire Hathaway in Q3 2021. I wonder if Berkshire’s sheer amount of stock buybacks compelled Li Lu to want to jump into the stock and add $245 million worth of Berkshire B stock to the Himalaya Capital Management portfolio.
It’s particularly interesting to me to keep tabs on the investing activities of Buffett, Munger, Pabrai, Spier, Lu, and Alexander because they are concentrated, long term investors. This means that they don’t overly diversify and they tend to hold their positions for a long time. Most of their invested capital is usually in their top 10 or 15 picks, as we can see from the 13F filings that come out up to 45 days after the end of a quarter.
By studying their holdings, we might be able to get some investment ideas if these companies are also within our circle of competence. Shameless cloning doesn’t mean blindly copying what these investors are invested in, but if we think we can understand these companies in doing our own research, we might find a stock buy price we’re comfortable with.
If you’re interested in learning how to take control of your finances and start becoming an investor like Warren Buffett, check out my free PDF guide.
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