Warren Buffett’s Berkshire losses in 2018 slipped by with hardly anyone noticing.

As reported previously 2018 has seen challenging trading times with many star hedge fund manager unable to turn a profit. The central bank’s transition to monetary tightening and deteriorating Sin-China relations caught many bullish hedge funds wronged footed last year.

Warren Buffett’s Berkshire losses in 2018 are the latest in a string of funds which also underperformed in 2018.

“Warren Buffett’s Berkshire losses in 2018 are the latest in a string of funds which also underperformed in 2018”

 

Warren Buffett’s Berkshire losses in 2018 were mainly attributed to a slide in Apple (AAPL) stocks

Berkshire Hathaway raked up a loss of more than $3.8 billion on its AAPL position. Berkshire Hathaway portfolio has a sizeable stock holding in the technology company with 58 million shares of Apple stock. Warren Buffett’s Berkshire is the third largest shareholder after passive investors Vanguard and BlackRock.

So Warren Buffett’s Berkshire losses in 2018 can be attributed to the fund’s large exposure to Apple stocks. Warren Buffett first public announcement that

It is somewhat unusual that technology stocks would be the culprit for Warren Buffett’s Berkshire losses in 2018. Warren Buffett, also known as the Oracle of Omaha has usually had an aversion towards technology stocks following a disastrous stint with investing with IBM. On Feb. 1, 2017, Apple’s shares were trading at approximately $129. Apple is currently trading at $152.30 as of January 10, 2018, so Warren Buffett is still in the green on the first portion of stock he bought back then.                                

Berkshire Hathaway raked up a loss of more than $3.8 billion on its Apple (AAPL) position

 

Warren Buffett’s Berkshire losses in 2018 were attributed to the billionaire investors adding to that stake significantly during the last two years and at much higher stock prices

In Q1 2018, Berkshire bought another 75 million shares of Apple, adding to an existing stake of 165.3 million shares Berkshire already owned at the end of 2017. Warren Buffett then told CNBC at the time that he clearly likes Apple, and “we buy them to hold.” But Apple stock is down almost 30% in the last there months which is technical putting the technology stock into the bear market.

 

“We bought about 5 percent of the company. I’d love to own 100 percent of it. … We like very much the economics of their activities. We like very much the management and the way they think” – Warren Buffett

The technology company has been hit by waning demand from its largest customers in China and a number of technical hitches with its latest iPhones.

Apple CEO Tim Cook recently sent out a shocking letter to Apple shareholders on Wednesday revising down its revenue projections for the coming year.

So Warren Buffett’s Berkshire losses in 2018 come from holding on too long and wanting to own more of Apple stocks. We bought about 5 percent of the company. I’d love to own 100 percent of it. … We like very much the economics of their activities. We like very much the management and the way they think Warren Buffett told CNBC’s “Squawk Box.”

TRADING SOFTWARE

Dan Loeb targets Sony. Dan Loeb is an activist investor and founder of Third Point, which oversees about $14.5 billion in assets.

Last year the activist investor viewed Campbell soup as a bargain when Third point reported that the soup maker could fetch a takeover value of $52 to $58 per share.

A year later and the activist investor Dan Loeb targets Sony

Dan Loeb's activist hedge fund Third Point is raising an investment vehicle to generate between $500 million and $1 billion so it can continue to buy Sony shares, according to a recent report in Reuters.