Ken Fisher & Jim Simons: Two Billionaires Bulking Up On Drugs

Page 1 of 2

FISHER ASSET MANAGEMENTBillionaires Ken Fisher and Jim Simons are two of the top names in the money management business. Fisher runs Fisher Asset Management and is also a long-time columnist for Forbes. Fisher founded Fisher Asset Management in 1979 and has been writing for Forbes for over 25 years. Here’s Ken Fisher’s full equity portfolio.

Simons founded Renaissance Technologies (RenTech) in 1982 and the firm continues to manage various hedge funds across the world. Simons’ Medallion Fund is one of the best in the industry, making Simons a very rich man while using high frequency trading to exploit inefficiencies in the stock market. Simons stepped down as CEO of RenTech in 2010 and the fund’s investors are now mainly current and past employees (check out Jim Simons’ latest picks).

In reviewing the duo’s latest 13F filings with the SEC – which reveal most of the publicly traded securities that each manager owns – we found that Fisher and Simons both have big bets in the pharma industry. Fisher and Simons each have two pharma stocks in their top five holdings, and have almost $3 billion invested cumulatively across five big-name pharma companies.

Our first pharma company is Fisher’s number one stock holding in his 13F, Pfizer Inc. (NYSE:PFE). Fisher increased his stake in Pfizer by 45% last quarter after the pharma stock traded relatively flat in 2Q. Pfizer completed the sale of its nutrition business to Nestle for $11 billion, which puts it on its path for realignment. Spurring Pfizer on will be its plan to IPO some 20% of its animal health business, with proceeds used to drive further dividend increases and its $10 billion share repurchase program that was recently announced.

Johnson & Johnson (NYSE:JNJ) is another one of Fisher’s big time bets, being the second largest stock holding in his 3Q 13F. Revenues are expected to be up 8% in 2013 thanks in part to a full year of Synthes’ integrated sales. The Synthes acquisition will help Johnson & Johnson expand its product offering to more orthopedic products, and is expected to add $4 billion in sales in 2013. Fellow billionaire investor George Soros also has Johnson & Johnson as one of his latest bets, increasing his stake by over 1500% during the third quarter (check out George Soros’ new picks).

GlaxoSmithKline PLC (NYSE:GSK) is another one of Fisher’s pharma bets and is the 23rd largest holding in his 13F portfolio. Fisher increased his stake by 130% last quarter. Revenues for Glaxo are expected to be flat for 2012 as the pharma company sees erosion in older drug lines. Volume gains in new pharmaceuticals, such as Lovaza, should help counter this erosion in the interim, and is expected to drive sales growth in the mid-single digits for 2013. Glaxo will likely see the most pressure of our five pharma stocks given its above-average exposure to Europe.

Page 1 of 2
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

On the Move: The 10 Fastest Growing Businesses in 2015

Fast Money: The 10 Highest Paying Fast Food Restaurants

Mixing It Up: The 14 Best Music Mashups of 2014

Rito Pls Buff: The 10 Least Played Champions in LoL Season 4

10 Covers of Popular Songs that are Better than the Originals

Must See TV: The 9 Most Anticipated Shows of 2015

The 15 Biggest Box Office Bombs of All Time

10 Things The World Can’t Stand About Americans

Picture Perfect: The 6 Smartphones with the Best Cameras

The 10 Best Countries To Work In the World

A Profitable Day At The Track: 5 Tips For Betting On Horses

Tearing You Apart: 6 Bad Habits That Ruin Relationships

Learning on the Job: The 6 Biggest Mistakes Parents Make

Shopaholics Rejoice: The 12 Biggest Malls in the World

Fright Night: 10 Horror Movies Based on True Stories

Mach Mania: The 10 Fastest Jets in the World

Military Heavyweights: The 10 Countries with the Most Tanks

All In: The 7 Richest Poker Players in the World

Abracadabra: The 10 Best Magicians in the World

The 10 Richest Asian Countries in the World in 2014

Eyes in the Sky: 10 Things You Need to Know About Drones

Rising Stars: The 6 Best Silicon Valley Startups

Military Muscle: The 5 Most Advanced Armies in South America

All that Glitters: The 7 Most Luxurious Jewelry Brands in the World

5 Things You Didn’t Know About ISIS but Should

Empowering Your Money: The 5 Best Energy Stocks to Invest In

The 11 Best Android Apps You Can’t Get on iOS

The 10 Most Important International Conflicts in 2014

Mood Enhancers: The 20 Most Uplifting Songs of all Time

Lover Beware: The 8 Countries that Cheat the Most

Breath of Fresh Air: The 25 Countries with the Best Air Quality on the Planet

Singles Beware: The 8 Worst Mistakes Made on First Dates

Healthy and Happy: The 10 Countries with Lowest Healthcare Costs

The 6 Best Company Team Building Activities to Build Workplace Camaraderie

Ships Ahoy: The 10 Busiest Shipping Ports in the World

10 Productivity Tips to Save You Time and Help You Do More With Less

Grab a Bite: The Most Popular Fast Food Restaurants in America

Friday Night Thirst: The 10 Most Popular Cocktails in the World

The 6 Greatest Unsolved Mysteries We May Never Figure Out

7 Useless Products You Never Should’ve Bought

The 5 Reasons Why You’re Single and Miserable

The 7 Most Addictive Foods in the World We Can’t Stop Eating (Even Though We Should)

5 Amazing Places You Can Swim with Dolphins

The Top 7 Most Livable Countries In The World

The 10 Most Expensive Baseball Cards Ever Pulled From A Pack

The 5 Easiest Second Languages to Learn for English Speakers

Silver Spoon: The 6 Richest Families in the World

The 20 Countries with the Largest Prison Populations in the World

The Top 10 Richest Actors in the World

The 10 Best Airline Stocks to Invest In Before They Fly Too High

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!