"In 2020, Buffett's investing vehicle announced it had acquired positions in five major Japanese trading companies. The stakes were worth slightly more than 5% in each firm, around $6.25 billion in total. At the time, Berkshire Hathaway signaled it was part of a long-term strategy, and the company was open to increasing its stakes under the right circumstances. Fast-forward five years, and the Omaha-based giant did increase its holdings-"
"Berkshire's Japanese portfolio is now worth more than $30 billion, notching the company $24 billion in half a decade. Those numbers are a result of both Buffett's shrewd calls on stocks that ended up being undervalued, as well as recent policy changes in Japan, including widespread corporate governance reforms and new pro-growth government rules and spending that have benefited technology companies."
Berkshire Hathaway acquired roughly 5% stakes in five major Japanese trading companies in 2020, an initial $6.25 billion investment. Over five years Berkshire increased those holdings repeatedly as Japanese stocks rose. The Japanese portfolio now exceeds $30 billion, producing about $24 billion in gains. The gains reflected purchases of undervalued stocks plus Japanese corporate governance reforms and pro-growth policies that aided technology firms. International equities, including Japan, have outperformed many U.S. assets recently, contributing to a 'Sell America' trend among investors. Berkshire remains heavily invested in the U.S. but demonstrated significant upside from global diversification.
Read at Fortune
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