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There is a great webcast on these guys website - Q1 2024 - that many of you will enjoy if you haven’t watched already. These guys are living and breathing the Buffett Munger way.

Highlights:
They look at Pandora. A high return on capital. Lowest cost producer of jewellery. A very solid Buffett/Munger type investment.

They do a great zoom out on the market valuation and psychology. Very Buffett like approach. Full of facts and figures covering 1929, the 70s, .com etc.

They own Oxy and argue that oil will massively outperform the current hot AI segments of the market.

Very entertaining and candid presentations and IMHO spot on.

PS good to see Berkshire trimming Apple and continuing to buy Oxy and hold a bucket load of cash

can you share the link. thanks

https://smeadcap.com/smead-us-value-ucits-fund/web...

With bated breath I computed the stats on Smeads value funds SMVLX, and compared to BRK (and to SPY, for fun).
I continue to be disappointed by the price performance of funds of Buffet-like folks, and of funds of other managers of good reputation.

Below are some stats for the Smead value fund compared to BRK and to SPY.

From 2008-01-03 (first date of common data):

                                BRK        SMVLX    SPY
Annualized Return              9.541%     10.12%   10.27%
Annualized Std Dev             22.4%      21.72%   18.69%
maxDrawdown                    53.86%     56.36%   55.19%

GreatRecession and Pandemic drawdowns:

BRK:   GreatRecession -53.86%, Pandemic -29.57%
SMVLX: GreatRecession -56.36%, Pandemic -39.56%
SPY:   GreatRecession -55.19%, Pandemic -33.72%

CONCLUSION:
SMVLX annualized return is about half percent better than BRK since 2008 and is comparable to SPY.
SMVLX drew down a lot worse than BRK and SPY in the pandemic.
SMVLX drew down a bit worse than BRK and SPY in the Great Recession.

Last time I looked at Joel Greenblatt's funds, their performance was unimpressive.
Same for Mebane Faber's funds, and for alphaarchitect funds.

Whether SMVLX or some other fund is perhaps predictable based on their price-to-valuation, as Jim has demonstrated for BRK, is a separate issue. Investing with leverage when BRK is undervalued and lightening up when overvalued is a twist not captured in the above statistics.

With bated breath I computed the stats on Smeads value funds SMVLX, and compared to BRK (and to SPY, for fun).
I continue to be disappointed by the price performance of funds of Buffet-like folks, and of funds of other managers of good reputation.

[Original reply lost, don't know why]

It's been tough for value investors. Here's a few, including Wally Weitz:

https://stockcharts.com/freecharts/perf.php?SPY,BR...

Berkshire has done great in this difficult period. We should be thankful.

With his dreadful record as a fund manager, I wonder why Wally Weitz is on the BOD? Is it because he is an Omaha resident? Would he somehow preserve Berkshire values better than other candidates?

We already have three other money managers on the BOD, so why not recruit a highly successful manager in an underrepresented business like technology?

Wally has been attending the BRK meetings since they were held in the NICO lunch room 50 years ago with a dozen attendees, has been a well informed long term shareholder and has been friendly with the Buffetts. I think he is a fine choice as a Director and he has truly seen BRK’s complete metamorphosis over the years and Warren thinks highly of him.

With his dreadful record as a fund manager, I wonder why Wally Weitz is on the BOD? Is it because he is an Omaha resident? Would he somehow preserve Berkshire values better than other candidates?

We already have three other money managers on the BOD, so why not recruit a highly successful manager in an underrepresented business like technology?

It doesn't get much better with Chris Davis. Adding the Davis New York Venture Fund (Large Cap Value) to the comparison:

https://stockcharts.com/freecharts/perf.php?SPY,BR...

Better than the Weitz fund, still got beat by the lowly Vanguard Value Index.

It's been tough for value managers to keep up. It hasn't been all that tough for the value managers themselves, who have continued to take their 1% or so of AUM, though that AUM in some cases is much reduced.

wally is an antiquated active manager that hasnt realized the fate of funds with his track record sporting 1-2% expense ratios.
i also cannot remember a single outsized move he has made differentiated from BH and its related holdings. (maybe charter at one time?)

this sounds harsh, but its coming from someone that actually enjoys the very rare times he expounds on single names and sectors.

They look at Pandora. A high return on capital. Lowest cost producer of jewellery. A very solid Buffett/Munger type investment.

Never heard of Pandora before. Looks interesting. One thing I noticed from looking at the long term chart is there are big swings in the ADR price. And the lows to the highs are a double or so in not that long a time frame. Might be worth waiting for a big price drop before loading up.

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