5 Most Famous Hedge Fund Managers and Their Top Stock Picks

1. Warren Buffett 

Warren Buffett, who is referred to as the “Oracle of Omaha,” is one of the most accomplished investors in history. Buffett manages Berkshire Hathaway, which owns multiple companies like Geico, Duracell, and Dairy Queen. On January 29, Buffett’s net worth came in at $108 billion. In 2010, Warren Buffett and Bill Gates initiated the Giving Pledge, which encourages billionaires to pledge to give away at least half of their wealth to charitable causes. Buffett’s hedge fund has a portfolio worth $296 billion as of Q3 2022, and Apple Inc. (NASDAQ:AAPL) and Bank of America Corporation (NYSE:BAC) are the largest holdings, with positions worth $123.6 billion and $30.5 billion, respectively. 

Ariel Investment made the following comment about Bank of America Corporation (NYSE:BAC) in its Q3 2022 investor letter:

“We initiated three new positions in the quarter. We added leading financial institution Bank of America Corporation (NYSE:BAC) which serves individual consumers, small and middle-market businesses, and large corporations with a full range of banking, investing, asset management, and other financial and risk management products and services. The current company was formed through various mergers including NationsBank, FleetBoston, US Trust, Countrywide Financial, and Merrill Lynch with the legacy commercial bank to form a national banking powerhouse and bulge bracket investment firm. As one of the ‘Big Four’ U.S. banks it enjoys scale driven cost advantages and economies of scale which provide meaningful competitive advantages and potential for strong returns in the largely commoditized banking industry. A survivor of the financial crisis, BAC has emerged with a solid capital base and stands to benefit from a rising interest rate environment.”

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