Caterpillar Inc. (CAT), The Coca-Cola Company (KO), Canadian National Railway (USA) (CNI): 3 Safe Picks From Bill Gates’ Foundation Trust

Bill & Melinda Gates Foundation Trust is a non-operating private foundation that works to help people lead healthy, productive lives. Its equity portfolio, worth almost $20 billion, is managed by Michael Larson. Nearly half of this portfolio is invested in Berkshire Hathaway Inc. (NYSE:BRK.B); Warren Buffett has been donating stock to the Foundation, piece-by-piece, over the past decade. Apart from this huge stake in Berkshire Hathaway Inc. (NYSE:BRK.B), the fund owns approximately $10 billion in other companies’ stock. In this article we will take a look at its top positions and the changes that they have experienced over the second quarter of the year. The companies implied are: The Coca-Cola Company (NYSE:KO), Caterpillar Inc. (NYSE:CAT) and Canadian National Railway (USA) (NYSE:CNI).

Excluding Berkshire Hathaway Inc. (NYSE:BRK.B), the foundation’s largest bet is placed on The Coca-Cola Company (NYSE:KO), a beverages giant that needs no introduction whatsoever. For the sixth consecutive quarter, the Trust’s position remained untouched, at 34 million shares. However, the stock returned 8.75% over the second quarter, making the fund’s holdings gain in value. According to the last 13F, the fund’s stake in the company is worth more than $1.44 billion.

Cascade Investments

There are only two hedge funds – amongst those that we track – that hold even larger stakes in The Coca-Cola Company (NYSE:KO): Warren Buffett’s Berkshire Hathaway and Donald Yacktman’s Yacktman Asset Management. The first fund owns 400 million shares of the company, worth almost $17 billion; Yacktman Asset Management holds 44.37 million shares, worth $1.8 billion.

Second in line, for the second consecutive quarter, is Caterpillar Inc. (NYSE:CAT), a $67.6 billion market cap manufacturer of construction and mining equipment, diesel and natural gas engines, industrial gas turbines and diesel-electric locomotives. The Bill & Melinda Gates Foundation Trust disclosed ownership of 11.26 million shares of Caterpillar Inc. (NYSE:CAT), worth more than $1.22 billion by the end of the second quarter of 2014.

This position makes of the Foundation the largest hedge fund shareholder of record –amongst those we track, trailed, from far behind, by Phill Gross and Robert Atchinson’s Adage Capital Management, which last declared holding $105 million in stock, or 967,255 shares of Caterpillar Inc. (NYSE:CAT).

Despite the fact that the stakes remained unchanged over the second quarter, Canadian National Railway (USA) (NYSE:CNI) replaced McDonald’s Corporation (NYSE:MCD) in this list. While both these stocks gained ground over the quarter, Canadian National Railway returned 17%, compared to McDonald’s 3.6% appreciation. The Foundation’s stake in the $57 billion market cap railroads company is now worth more than $1.11 billion, and comprises 17.12 million shares.

Once again, Bill & Melinda Gates Foundation Trust is the larges hedge fund shareholder, according to our database, by a wide margin. Second in line is D E Shaw, which holds 3.86 million shares of Canadian National Railway (USA) (NYSE:CNI), worth more than $250 million.

Disclosure: Javier Hasse holds no position in any stocks or funds mentioned.

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 10 Largest Pharmaceutical Companies In the World

The 10 Most Expensive Android Apps

The 9 Most Expensive Designer Bags in the World

The 7 Most Expensive Real Estate in the World

The 10 Most Expensive eBay Items Ever Sold

The 10 Most Expensive iPhone Apps

The 9 Most Expensive Designer Shoes in the World

The 10 Most Expensive Cigarette Brands

The 10 Most Expensive Law Schools in the US

The 10 Best Wall Street Movies

The 10 Most Expensive Golf Clubs Ever Sold

The 10 Most Expensive Golf Memberships

The 10 Best Disney Characters Ever Created

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!