Ten funds with the most Buffett-like taste in stocks.
This article originally appeared in the June/July 2012 issue of MorningstarAdvisor magazine. To subscribe, please call 1-800-384-4000.
In honor of the Berkshire Hathaway
Kathman says that the funds on this list have mostly been strong long-term performers. All but Torray and Praxis Core Stock trounced their categories over the past five years. Six of them have also outperformed Berkshire Hathaway stock over that time, a period that includes two years (2009 and 2011) when Berkshire badly trailed the S&P 500 Index. Still, of the 10 funds on this list, only the two Yacktman funds have beaten Berkshire over the past 10 years, illustrating how tough it is to beat Buffett over the long term. “That long-term strength illustrates why so many people pay attention to Buffett’s portfolio,” Kathman says, “and why emulating his approach has been a winner over time.”