Stockpickr: You Can Trade Like Bill Gates
What do you do if you have $50 billion in net worth and almost all of it is tied up in a tech, formerly high-growth company? Let's say that company was Microsoft (MSFT), and you were Bill Gates. How would you diversify?
Cascade Investment is a private equity firm owned by Gates, his investment vehicle outside of Microsoft. (You can see Cascade's complete list of holdings on Stockpickr by clicking here.) Whenever he sells shares of Microsoft and he's not sending that money immediately to charity, it probably finds its way to Cascade, where he diversifies into stocks as far from Microsoft as can be imagined.
At Cascade, you can clearly see the influence of Warren Buffett. (Click here to see Warren Buffett's Stockpickr page and his top and recently changed holdings.) Their portfolios don't overlap much -- although both own Berkshire Hathaway (BRKA) stock, where Gates is a director -- but they do have a few qualities in common:
- A focused portfolio: Cascade has $3.6 billion in investments in only 10 holdings; Buffett has long been a proponent of maintaining focus, as there are only so many companies an investor can really study at a time.
- Very consistent earnings and growth.
- Boring businesses.
- Sometimes, good brands.
|Republic Services (RSG)
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV