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Greg Abel steers Berkshire Hathaway toward Japanese equities and Alphabet as new CEO

Greg Abel has begun reshaping the Berkshire Hathaway equity portfolio by balancing aggressive U.S. technology investments with a disciplined value-driven strategy in Japan. While the new CEO has significantly increased the company's stake in Alphabet, totaling a $17 billion purchase in the second quarter, he has also maintained a steady commitment to Japanese stocks. Berkshire's Japanese equity exposure, now valued at approximately $42.7 billion, centers on the five sogo shosha trading houses and a new 2.5% stake in Tokio Marine. This strategy reflects a broader shift toward attractively priced industry leaders overseas that prioritize shareholder returns through dividends and share repurchases. In contrast to the U.S. tech boom, the Japanese holdings represent a long-running commitment to value-based investing. While Abel has shown a willingness to make notable stock-picking decisions, he has also preserved iconic holdings like Coca-Cola, which remains a core component of the portfolio. Together, these moves suggest that Abel is successfully blending growth-oriented opportunism with the patient, value-driven accumulation that defined the tenure of Warren Buffett.

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