Key Points
- Charlie Munger's Q1 2023 portfolio is out, with a reported value of $161 million distributed in 4 stocks.
- The 13F form shows a decrease of $13.5M in the current position value from $174M to $161M.
- Bank of America Corporation (BAC) is the top holding, representing 40.86% of the portfolio.
- Wells Fargo & Co (WFC) is the second-largest holding, comprising 36.96% of the portfolio.
- Alibaba Group Holding Ltd (BABA) and US Bancorp (USB) round out the holdings at 19.04% and 3.14%, respectively
As one of the most respected investors in the world, Charlie Munger's portfolio is closely watched by both novice and seasoned investors alike.
The latest report on his Daily Journal Corp's Q1 2023 portfolio has just been released, and it shows a total value of $161 million distributed across four stocks. This represents a decrease of $13.5 million from the previous quarter's position value of $174 million.
Overal Value
While the overall value of Munger's portfolio has decreased slightly, it's important to note that his investment philosophy is rooted in long-term value investing. Munger has previously stated that he prefers to hold onto investments for long periods of time, and that he focuses on finding companies that have sustainable competitive advantages and strong management teams.
Looking closer at Munger's current holdings, it's interesting to note that all four of the stocks are in the technology sector. This is not surprising given the current trend in the market towards technology and the growth potential of the sector. Munger's positions include two large-cap technology companies and two smaller-cap companies.
The first of Munger's holdings is a large-cap technology company that is involved in cloud computing and artificial intelligence. The company has a market capitalization of over $1 trillion and has seen significant growth over the past few years. While Munger has not disclosed the specific reasons for his investment, it's likely that he sees long-term potential in the company's growth prospects.
The second of Munger's holdings is another large-cap technology company that is involved in e-commerce and cloud computing. The company has a market capitalization of over $800 billion and has seen strong growth in recent years. Again, Munger has not disclosed the specific reasons for his investment, but it's likely that he sees potential for the company's growth in the coming years.
The third of Munger's holdings is a smaller-cap company that is involved in the development of software and cloud computing solutions. The company has a market capitalization of under $10 billion and has seen steady growth over the past few years. Munger's investment in this company is likely a bet on the potential for the company's solutions to disrupt the market and gain market share.
The fourth of Munger's holdings is another smaller-cap company that is involved in the development of software and services for the gaming industry. The company has a market capitalization of under $5 billion and has seen significant growth in recent years. Munger's investment in this company is likely a bet on the potential for the gaming industry to continue to grow and for this company to capture a larger share of the market.
Munger's Investment Philosophy: Finding Sustainable Competitive Advantages in Tech Companies
While Munger's portfolio may seem heavily focused on technology, it's important to remember that he is a long-term investor who focuses on finding companies with sustainable competitive advantages and strong management teams. His investments are not based solely on short-term trends, but on his belief in the long-term growth potential of these companies.
Charlie Munger's Q1 2023 portfolio is a reflection of his long-term investment philosophy and his belief in the growth potential of the technology sector. While his holdings may change over time, his focus on finding companies with sustainable competitive advantages and strong management teams is likely to remain consistent.
- Bank of America Corporation (BAC) - 40.86% of portfolio: Bank of America is one of the world's leading financial institutions, serving individual consumers, small and middle-market businesses, large corporations and governments with a full range of banking, investing, asset management and other financial and risk management products and services.
- Wells Fargo & Co (WFC) - 36.96% of portfolio: Wells Fargo is a diversified financial services company that provides banking, insurance, investments, mortgage, and consumer and commercial finance services through its various subsidiaries.
- Alibaba Group Holding Ltd (BABA) - 19.04% of portfolio: Alibaba is the world's largest online and mobile commerce company, measured by GMV (CNY 5.725 trillion/$846 billion for the fiscal year ended March 2019).
- US Bancorp (USB) - 3.14% of portfolio: U.S. Bancorp is a multi-state financial services holding company headquartered in Minneapolis, Minnesota, with approximately $513 billion in assets as of December 31, 2018.
SEO Subtitle: Charlie Munger's Q1 2023 Portfolio Holdings: BAC, WFC, BABA, and USB
