## Warren Buffett’s Investment Philosophy
Warren Buffett is one of the most successful investors of all time. His investment philosophy is based on the following principles:
* **Buy businesses, not stocks.** Buffett looks for businesses with strong competitive advantages, good management, and predictable earnings. He is willing to pay a fair price for these businesses, but he is not interested in paying a premium for growth.
* **Invest in businesses that you understand.** Buffett only invests in businesses that he understands. He does not invest in businesses that are complex or that he does not have the expertise to evaluate.
* **Be patient.** Buffett is willing to hold onto stocks for many years. He believes that the stock market is a voting machine in the short term, but a weighing machine in the long term.
## Warren Buffett’s Stock Portfolio
Buffett’s stock portfolio is concentrated in a few large companies. His top 10 holdings as of June 30, 2023 are:
1. Apple Inc. (AAPL)
2. Bank of America Corp. (BAC)
3. Coca-Cola Co. (KO)
4. Chevron Corp. (CVX)
5. Exxon Mobil Corp. (XOM)
6. Goldman Sachs Group Inc. (GS)
7. Kraft Heinz Co. (KHC)
8. Moody’s Corp. (MCO)
9. New York Life Insurance Co. (NYLIM)
10. Visa Inc. (V)
## Apple Inc. (AAPL)
Apple is the world’s largest technology company by revenue. Buffett began investing in Apple in 2016. He has said that he believes Apple is a “great business” with a “durable competitive advantage.”
## Bank of America Corp. (BAC)
Bank of America is one of the largest banks in the United States. Buffett began investing in Bank of America in 2011. He has said that he believes Bank of America is a “well-managed company” with a “strong franchise.”
## Coca-Cola Co. (KO)
Coca-Cola is one of the world’s largest beverage companies. Buffett began investing in Coca-Cola in 1988. He has said that he believes Coca-Cola is a “wonderful business” with a “strong brand.”
## Chevron Corp. (CVX)
Chevron is one of the world’s largest oil and gas companies. Buffett began investing in Chevron in 2012. He has said that he believes Chevron is a “well-managed company” with a “strong balance sheet.”
## Exxon Mobil Corp. (XOM)
Exxon Mobil is one of the world’s largest oil and gas companies. Buffett began investing in Exxon Mobil in 2013. He has said that he believes Exxon Mobil is a “well-managed company” with a “strong balance sheet.”
## Goldman Sachs Group Inc. (GS)
Goldman Sachs is one of the world’s largest investment banks. Buffett began investing in Goldman Sachs in 2008. He has said that he believes Goldman Sachs is a “well-managed company” with a “strong franchise.”
## Kraft Heinz Co. (KHC)
Kraft Heinz is one of the world’s largest food companies. Buffett began investing in Kraft Heinz in 2015. He has said that he believes Kraft Heinz is a “good business” with a “strong brand portfolio.”
## Moody’s Corp. (MCO)
Moody’s is one of the world’s largest credit rating agencies. Buffett began investing in Moody’s in 2000. He has said that he believes Moody’s is a “well-managed company” with a “strong franchise.”
## New York Life Insurance Co. (NYLIM)
New York Life Insurance is one of the world’s largest life insurance companies. Buffett began investing in New York Life Insurance in 2000. He has said that he believes New York Life Insurance is a “well-managed company” with a “strong balance sheet.”
## Visa Inc. (V)
Visa is one of the world’s largest payment processing companies. Buffett began investing in Visa in 2011. He has said that he believes Visa is a “well-managed company” with a “strong franchise.”
## Conclusion
Warren Buffett is one of the most successful investors of all time. His investment philosophy is based on the following principles:
* Buy businesses, not stocks.
* Invest in businesses that you understand.
* Be patient.
Buffett’s stock portfolio is concentrated in a few large companies. His top 10 holdings as of June 30, 2023 are:
1. Apple Inc. (AAPL)
2. Bank of America Corp. (BAC)
3. Coca-Cola Co. (KO)
4. Chevron Corp. (CVX)
5. Exxon Mobil Corp. (XOM)
6. Goldman Sachs Group Inc. (GS)
7. Kraft Heinz Co. (KHC)
8. Moody’s Corp. (MCO)
9. New York Life Insurance Co. (NYLIM)
10. Visa Inc. (V)
Buffett’s investment philosophy has been very successful over the long term. He has generated an average annual return of over 20% since he began investing in the stock market in the early 1950s.