Warren Buffett’s Berkshire Hathaway recently disclosed a major stake in the insurance company Chubb, revealing an investment that had been kept under wraps since last year. Berkshire acquired nearly 26 million shares of Chubb, valued at approximately $6.7 billion, and had previously shielded the position from public knowledge by requesting “confidential treatment” from the SEC. Chubb operates in 54 countries and gained attention in March for underwriting President Donald Trump’s appeal bond in a defamation lawsuit.
As Berkshire Hathaway’s CEO and investment guru, Buffett has a significant following of investors who closely watch and mimic his portfolio moves. The revelation of Berkshire’s stake in Chubb caused the insurance company’s stock to jump over 8% in after-hours trading. This investment in Chubb aligns with Buffett’s longstanding interest in insurance companies, as Berkshire Hathaway owns subsidiaries such as Geico, National Indemnity, and General Re.
Berkshire Hathaway’s recent investment strategy has focused on financial companies like Ally Financial, American Express, and Bank of America, while trimming its holdings in consumer products. In addition to acquiring shares in Chubb, Berkshire disclosed the sale of 10 million shares of Apple in the first three months of the year, although Apple remains its largest investment. The company also sold 80 million shares of HP in the fourth quarter of 2023, reducing its holdings by 78%.
Overall, Berkshire Hathaway’s stake in Chubb and recent investment activity reflect Buffett’s strategic approach to managing the company’s portfolio. By doubling down on financial companies and reducing investments in consumer products, Berkshire is adapting to the changing market landscape. Buffett’s track record of successful investments has solidified his reputation as one of the most respected investors in the world, and his followers continue to monitor his moves closely for guidance on their own investment decisions.
The disclosure of Berkshire’s stake in Chubb sheds light on the company’s investment strategies and highlights its continued focus on the insurance industry. With Buffett at the helm, Berkshire Hathaway has maintained a strong position in the market and continues to pursue opportunities that align with its long-term financial goals. As investors analyze Buffett’s latest moves, they gain insights into his thought process and approach to building a diversified and successful investment portfolio. Containing a brief mention of CNN contributor Nicole Goodkind, the article encourages readers to create an account on CNN.com for more news and newsletters.
