Bill Gates sells Microsoft and buys McDonald’s
In the fourth quarter of 2024, the Bill & Melinda Gates Foundation Trust reduced its stake in Microsoft and Berkshire Hathaway, and added McDonald’s to its portfolio.
Their 13F filing with the US Securities and Exchange Commission for the fourth quarter of 2024 revealed this information. These filings are mandatory for all investors managing over $100 million (around R1.8 billion) in assets.
Bill Gates and his former wife, Melinda Gates, established the Bill & Melinda Gates Foundation in 2000.
In 2006, the foundation’s trustees adopted a two-entity structure to differentiate between its programmatic work and asset management.
This structure includes the Bill & Melinda Gates Foundation, which distributes funds to grantees, and the Bill & Melinda Gates Foundation Trust, which oversees the endowment and finances the foundation’s initiatives.
In the fourth quarter of 2024, the foundation made some notable adjustments to its portfolio, which now consists of 24 stocks valued at $42.02 billion (R778.01).
The trust reduced its stake in its biggest stock, Microsoft, which now makes up 28.55% of its portfolio and is valued at $11.99 billion (R222.14 billion).
Gates has reduced his share in Microsoft every quarter since Q4 2023. The trust also made a significant move by decreasing its position in its second-biggest share, Berkshire Hathaway, billionaire Warren Buffett’s holding company.
The foundation reduced its stake by 11.21%, although its share is still valued at over $8 billion (R164.98 billion).
In addition, they sold their stake in Vroom, the parent company of United Auto Credit Corporation and CarStory.
Notably, the trust also added the major fast food conglomerate McDonald’s to its portfolio.
The foundation holds investments in major companies, including Walmart, Coca-Cola, and FedEx.
The foundation also owns shares in JSE-listed brewer AB InBev, which owns popular local beer brands like Black Label, Castle, and Windhoek.
The foundation owns 1,703,000 shares in the company, valued at $85.27 million (R1.58 billion). AB InBev comprises only 0.20% of the foundation’s portfolio.
The foundation’s investment strategy is characterised by diversity. It has significant stakes in various industries, including technology, industrials, consumer goods, and transportation.
Although the foundation has decreased its holdings in some major stocks, it seems to focus on consolidating its investments in a select group of high-performing companies.
At the same time, it is diversifying its portfolio by including smaller, potentially high-growth opportunities.
This ongoing reshaping of the portfolio highlights the foundation’s commitment to aligning its investments with broader objectives and adapting to changing market conditions.
Bill & Melinda Gates Foundation’s portfolio
The table below shows the Bill & Melinda Gates Foundation’s share portfolio on 31 December 2024.
| Stock | % of portfolio | Change | Value |
|---|---|---|---|
| Microsoft Corp. | 28.55% | Reduce 1.73% | $11,994,730,000 |
| Berkshire Hathaway CL B | 21.20% | Reduce 11.21% | $8,909,229,000 |
| Waste Management Inc. | 15.48% | No change | $6,504,568,000 |
| Canadian Natl Railway Co. | 13.25% | No change | $5,565,467,000 |
| Caterpillar Inc. | 6.35% | No change | $2,667,597,000 |
| Deere & Co. | 3.59% | No change | $1,507,261,000 |
| Ecolab Inc. | 2.91% | No change | $1,222,692,000 |
| Walmart Inc. | 1.95% | No change | $821,325,000 |
| FedEx Corp. | 1.70% | No change | $712,992,000 |
| Coca-Cola FEMSA S A CV | 1.15% | No change | $484,064,000 |
| Waste Connections | 0.88 | No change | $368,755,000 |
| Coupang Inc. | 0.48% | No change | $203,272,000 |
| Madison Square Garden Sports Corp. | 0.32% | No change | $133,694,000 |
| SCHRODINGER Inc. | 0.32% | No change | $134,676,000 |
| Crown Castle International Corp. | 0.31% | No change | $128,886,000 |
| PACCAR Inc. | 0.25% | No change | $104,020,000 |
| McDonald’s Corp. | 0.23% | Buy | $97,084,000 |
| United Parcel Service | 0.23% | No change | $95,217,000 |
| Anheuser-Busch InBev | 0.20% | No change | $85,269,000 |
| Danaher Corp. | 0.20% | No change | $85,622,000 |
| Kraft Heinz Co. | 0.19% | No change | $80,540,000 |
| Hormel Foods Corp. | 0.16% | No change | $68,866,000 |
| On Holding AG | 0.07% | No change | $27,385,000 |
| Veralto Corp. | 0.03% | No change | $12,663,000 |
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