Report summarizes quarterly investment activity of five select hedge funds (Berkshire Hathaway, Scion Asset Management, Appaloosa, Yacktman Asset Management, and Pershing Square Capital Management).

These funds were selected based on their performance in recent years as well as their style of investing. The chosen hedge funds tend to invest in a traditional way: their portfolios are relatively concentrated and they mostly follow a buy-and-hold investment strategy. Because these funds trade infrequently, their portfolio data can be useful for investors despite being reported with delay.

Summary:

  • In 4Q24, four out of five hedge funds underperformed S&P 500 (the return of S&P 500 index was 2.1% compared to -3.4% average of selected funds).
  • Compared to S&P 500, the select funds are overweight in Consumer Discretionary, Energy, and Real Estate while remain underweight in Healthcare, Technology, and Finance. They are more-or-less in line with the benchmark weights in remaining sectors.
  • Internet, Software, Oil & Gas, Banks, and Semiconductors remain the most popular industry groups.