The response of readers to my article last Thursday (Feb. 17th) entitled 13F Filings: Superstar Investors Buys and Sells has been highly favorable. Apparently, knowing what wealthy hedge-fund managers are up to is noteworthy. This doesn’t surprise me, since it’s rational to believe that successful hedgies – whose past investment success has been due to their ability to pick outperforming stocks – are likely to continue to make good stock picks in the future.
In last Thursday’s article, I highlighted the trading decisions four superstar investors made during the fourth quarter of 2010: Seth Klarman, Mohnish Pabrai, Bruce Berkowitz, and David Tepper. Personally, I found Seth Klarman’s purchases of two obscure biotech companies and Bruce Berkowitz’ purchase of a formerly bankrupt REIT to be the most interesting. These types of small-cap and special-situation stocks are rarely talked about in the mainline financial press and often present the best opportunities for outsized gains.
Anyway, risking overkill, I thought readers may want to see the recent stock picks of a few more superstar investors. Two I have discussed in the past: John Paulson and Julian Robertson. Paulson made billions betting against subprime mortgages and Robertson called the 2008 economic recession. The three newbies – Bill Ackman of
Keep in mind that while this information is the latest publicly available, it reports stock holdings as of Dec. 31, 2010, so things may have changed over the past seven weeks (see my comment below about Bruce Berkowitz). With that caveat, let’s see what these guys have been up to . . .
1. Bill Ackman
2. John Paulson
3. Julian Robertson
4. David Einhorn
5. Lee Ainslie
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Roger Conrad is Investing Daily’s in-house superstar investor. He is also the advisor of the market-beating Utility Forecaster income service, which has carefully selected more than 35 dividend-paying stocks, as well as 14 fixed-income preferred stocks and bonds, that will help you compound wealth safely. To find out the specific names of his favorite income investments right now, consider giving Utility Forecaster a try today!
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