Billionaire Ken Fisher, a prominent money manager, renowned author, and financial analyst, is the founder of Fisher Asset Management. Fisher founded his hedge firm in 1979 and was CEO until 2016 when he stepped down. Currently, he serves as Fisher Investments’ Executive Chairman and co-chief investment officer alongside Jeff Silk. The billionaire’s net worth is believed to be more than $11.2 billion, making him one of the wealthiest Americans and billionaires in the world. Known for his emphasis on long-term investment, Fisher also believes in diversification to reduce risk. To that end, Fisher Asset Management holds a highly diversified portfolio worth around $244 billion, with technology equities accounting for 31.8% of its assets.
Fisher Asset Management’s investing strategy is based on Ken Fisher’s conviction in capitalism and free markets, where securities prices are determined by supply and demand. The firm uses market research and key criteria such as the price-to-sales ratio to identify undervalued growth stocks. It asserts that securities prices are solely determined by supply and demand, and that capital markets accurately represent generally known facts.
Fisher’s 2025 Outlook
Fisher recently highlighted three potential trajectories for global equities in 2025, emphasizing that some factors—such as central bank rate reduction, GDP reporting, profitability, climate change, and Big Tech antitrust cases—will not influence their estimates. According to the billionaire, central banks’ activities follow market developments instead of driving them. Similarly, long-term issues such as peak oil consumption, demographic upheavals, and regulatory conflicts have little effect on stock prices in the near term. In addition, he believes that current political developments may affect emotion but not long-term market direction. Instead, bull markets collapse owing to either blind enthusiasm or an unanticipated economic shock with a global effect.
Speaking on President Trump’s tariffs specifically, Ken Fisher believes that the global economy and stock market will stay robust despite worries, stating:
“Market volatility can feel unsettling. However, selling stocks during a downturn can lead to missing out on gains if the market rebounds, which we believe will happen this year. While so far, President Trump has proposed larger tariffs this year than in 2018 to 2019, they may not be fully implemented or remain in effect as long as expected. Even if they do, businesses are also highly adaptable and find ways to adjust to shifting economic policies which can mitigate the longer term damage some fear. All in all, we still see a strong case for global economic growth ahead, despite tariffs, which should continue to support this bull market.”
Our Methodology
For this article, we picked companies from Fisher Asset Management’s 13F portfolio as of the end of the fourth quarter of 2024. The following firms have low beta values (<1), consistent dividend histories, and robust businesses. Additionally, we have mentioned the hedge fund sentiment around each stock, as of Q4 2024.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10. The Charles Schwab Corporation (NYSE:SCHW)
Beta Value: 0.91
Dividend Yield: 1.38%
Fisher Asset Management’s Q4 Stake: $1.51 billion
Number of Hedge Fund Holders: 91
The Charles Schwab Corporation (NYSE:SCHW) is a financial services corporation that provides commercial banking, asset management, and wealth management solutions in the United States and internationally.
In the fourth quarter of 2024, The Charles Schwab Corporation (NYSE:SCHW) reported net income of $1.8 billion and an EPS of $0.94. Revenue for the quarter climbed by 20% to $5.3 billion, driven by improved client engagement, increased margin utilization, and record inflows into Managed Investing Solutions.
On March 17, JMP Securities analysts reiterated their favorable outlook on The Charles Schwab Corporation (NYSE:SCHW), with a Market Outperform rating and a $94 price target. The analysts praised Charles Schwab’s outstanding February metrics, highlighting the significant growth in net new assets, which jumped by $48 billion. This was a massive 44% rise over the previous year, with an annualized net new asset growth rate of 5.7%. Additionally, The Charles Schwab Corporation (NYSE:SCHW) experienced a minor growth in client cash holdings, which increased by $4.7 billion in February, a 1% increase over January numbers.
9. Merck & Co., Inc. (NYSE:MRK)
Beta Value: 0.40
Dividend Yield: 3.48%
Fisher Asset Management’s Q4 Stake: $1.6 billion
Number of Hedge Fund Holders: 91
Merck & Co., Inc. (NYSE:MRK) is a well-known American multinational pharmaceutical firm that has a long history dating back to the founding of the Merck Group in Germany in 1668. Internationally recognized as Merck Sharp & Dohme (MSD), the company is a global provider of prescription medications, vaccines, biologic therapies, and animal health products. The firm boasts a robust portfolio, including Keytruda, the world’s best-selling cancer therapy medicine.
Merck & Co., Inc. (NYSE:MRK) reported solid financial results for Q4 2024, with revenue up 7% year-over-year to $15.6 billion. Merck’s strong market position has enabled the company to produce significant cash flow, confirming its focus on shareholder returns. Notably, Keytruda sales climbed by 18% over the previous year to $29.5 billion.
On February 12, Guggenheim maintained its Buy rating on Merck & Co., Inc. (NYSE:MRK), but reduced its price target to $115 from $122. The shift comes after Guggenheim sponsored a webinar with Merck’s management team to review the company’s fourth-quarter results and strategic goals. With a solid gross profit margin of 80.85% and a sales rise of 6.74%, they highlighted Gardasil and Keytruda, two of the most important pharmaceuticals in Merck’s portfolio, as well as potential opportunities that investors may be missing.
8. UnitedHealth Group Incorporated (NYSE:UNH)
Beta Value: 0.64
Dividend Yield: 1.63%
Fisher Asset Management’s Q4 Stake: $1.73 billion
Number of Hedge Fund Holders: 150
UnitedHealth Group Incorporated (NYSE:UNH), based in Minnetonka, Minnesota, is a renowned US multinational corporation that provides managed healthcare and insurance services. The company operates through four main segments: UnitedHealthcare, Optum Health, Optum Insight, and Optum Rx. The company returned more than $16 billion to stakeholders through dividends and share repurchases.
The company reported solid fiscal year 2024 earnings that exceeded investor expectations. Revenue increased by 8% to $400 billion, driven by broad-based expansion across its service offerings. Throughout 2024, the UnitedHealth Group Incorporated (NYSE:UNH) returned more than $16 billion to shareholders via dividends and stock buybacks.
Following developments in a long-running Department of Justice (DOJ) case, Deutsche Bank analysts maintained their Buy rating on UnitedHealth Group Incorporated (NYSE:UNH) shares, with a price target of $591. The healthcare behemoth is allegedly close to a dismissal of the case, which accuses it of overbilling Medicare by at least $2.1 billion. With yearly sales over $400 billion and solid cash flows, UnitedHealth Group has shown tenacity throughout this court battle.
Vulcan Value Partners stated the following regarding UnitedHealth Group Incorporated (NYSE:UNH) in its Q4 2024 investor letter:
“UnitedHealth Group Incorporated (NYSE:UNH), a company that we have owned several times in the past, is the largest health insurer in the United States. UnitedHealth Group also owns Optum, which is a rapidly growing healthcare services company. The environment for the health insurance business remains positive as growth in healthcare spending, driven by chronic diseases and an aging population, will continue to outpace overall economic growth. The insurance business benefits from powerful network effects as more members attract more providers and vice versa, which reinforces United’s value proposition and bargaining power with each side of the network. We respect UnitedHealth Group’s management team and have been very pleased with their long-term vision and execution.”
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