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By Jason Stipp | 04-28-2010 04:44 PM

Three Ways to Complement a Buffett-Heavy Portfolio

Morningstar's Christine Benz highlights mutual funds that could round out a Berkshire-like strategy.

Jason Stipp: I'm Jason Stipp from Morningstar. The Annual Berkshire Shareholders Meeting is happening this weekend and Buffett devotees and Berkshire shareholders from all over the world will be convening in Nebraska.

It got us to thinking, what does it mean to have a portfolio like Buffett's? And if you were just investing in Berkshire, what kind of portfolio would you have? Here with me to discuss is Morningstar's Christine Benz. She is director of personal finance and she has some ideas on how you might round out a Buffett like portfolio. Thanks for joining me, Christine.

Christine Benz: Jason, great to be here.

Stipp: So the first question for you, if you were just investing in Berkshire or if you were investing just like Buffett, what kind of portfolio would you end up with as a result of that?

Benz: Well, Buffett looks for companies that are trading cheaply and also very high-quality companies, so those are great attributes. In general, though, he tends to find his happiest hunting ground in a couple of major industries, insurance of course, and reinsurance, and also in some of the industrial manufacturing spaces. So those are big emphases for the portfolio.

Also it is a pretty domestically focused basket of companies. While Buffett has done some hunting overseas over the past several years, still quite a big domestic emphasis as well.

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