Investment Lifecycle and Strategies
WHERE WE DIFFER
CONCENTRATED
We are concentrated in only our best ideas.
Portfolios typically comprise of 6 – 15
holdings.
When our ideas are correct, they will
have a meaningful impact on the
portfolio values.
At the same time, we know our
companies better than the average
investor, as we are focused on only a few
stocks at a time.
ABILITY TO HOLD CASH
Being able to hold large amounts of cash allows us
to be patient.
We can wait for opportunities in exceptional
businesses, rather than being forced to invest
in mediocre ones.
Cash also allows us to protect capital in a
downturn, while having purchasing power at a
market bottom.
This differs from many mutual funds, where
mandates limit their cash positions to 5%.
Many funds don't have this luxury and
advantage that we do.
"OUR JOB IS TO FIND A FEW INTELLIGENT THINGS TO DO, NOT TO KEEP UP
WITH EVERY DAMN THING IN THE WORLD."
-
CHARLIE MUNGER, VICE-CHAIRMAN OF BERKSHIRE HATHAWAY
HAYDEN CAPITAL 13View entire presentation