Breakdown of Fisher Investments’ Portfolio - How Ken Fisher Invests - YouTube

Ken Fisher is one of the most successful  investors of the last decades. 

He has a net worth of over 6 billion dollars -  making him one of the richest people globally. 

He’s the founder of Fisher Investments  - an investment company with over 180  

billion dollars in assets under management. In this video, we will reveal that portfolio. 

We will break down his largest investments  one after another and I will tell you a  

little bit about the investments and why  they could be interesting for you, too. 

This video is packed with  information - so let’s go! 

What’s up everyone? 

This is fu academy - your  channel for financial education. 

And on this channel, I share lifestyle, investing  style and educational videos - just like this one. 

So if you are new here, consider subscribing. So let’s see what Ken Fisher’s portfolio is about. 

I actually got this data from hedgefollow.com - I  will leave a link to it in the description below. 

The largest investment of Ken Fisher’s portfolio  is Apple - making up 5.4% of the total portfolio. 

Apple is one of the largest consumer  electronics companies globally. 

They sell a variety of products like the iPhone,  iPad, Mac, Apple watch, AirPods and more. 

On top of that, Apple is also big on services like  Apple Music, iCloud, Apple Card and Apple Pay. 

Last year, Apple made over 270  billion dollars in revenues. 

45% of those revenues were generated in North and  South America, 25% in Europe, 15% in China and a  

total of 15% in the rest of Asia and Pacific. The iPhone is Apple’s most valuable product. 

Since 2008, it has been the  company’s main source of revenue. 

And although Apple has diversified its  product line with the iPad, Apple watch,  

AirPods and services, the iPhone is still  responsible for 50% of Apple’s revenue. 

Apple makes another 10% of their  revenues from the iPad, 10% from the Mac,  

5% from other Hardware like the Apple  watch or AirPods and 20% from services. 

Apple is currently the most  valuable company in the world  

with a market cap of 2.5 trillion dollars. The company currently has a PE ratio of 28  

and a dividend yield of 0.5%. Apple is a tech giant,  

an absolute cash machine with a wide moat  and long-term consistent earnings growth. 

In position number 2, we have Microsoft. It makes up 4.5% of Ken Fisher’s total portfolio. 

Microsoft is the second most valuable  company globally right behind Apple. 

It’s best known for its software products like the  operating system Microsoft Windows, the Microsoft  

Office suite, web services like Bing, LinkedIn or  MSN and hardware products like the Surface line  

or the Xbox and their cloud service Azure. Azure has become the second largest player  

in the cloud infrastructure  space globally right after AWS. 

Last year, Microsoft made over  143 billion dollars in revenues. 

51% of those revenues were generated  in the US and 49% outside the US. 

Microsoft makes 36% of their  revenues from Intelligent Cloud,  

32% from More Personal Computing and 32%  from Productivity and Business Processes. 

It currently has a market  cap of 2.5 trillion dollars,  

a PE ratio of 37 and a dividend yield of 0.7%. After Satya Nadella took over as CEO in 2014,  

Microsoft is back on the growth path. Especially products like the Microsoft Office,  

Xbox and Azure are massive growth  contributors and future-proof. 

Microsoft is a cash-flow beast and  pays out relatively high dividends. 

In position number 3, we have Amazon. It makes up 3.9% of Ken Fisher’s total portfolio. 

Amazon is best known for its e-commerce business. But it also produces its own hardware  

products like Echo and Alexa  devices, Fire TV or the Kindle. 

It also offers a video streaming  service through Amazon Prime Video. 

On top of that, Amazon is the biggest player in  cloud computing globally through its AWS arm. 

In 2017, Amazon bought Whole Foods, which  increased their market share in physical retail. 

Last year, Amazon made over 386  billion dollars in revenues. 

Amazon makes 60% of their revenues  from their North American business,  

27% from their International business  and 13% from their AWS service. 

And although AWS only accounts for 13% of the  total revenue, it accounts for over half of the  

operating income - which gives you a rough idea  how profitable Amazon's AWS business really is. 

It currently has a market cap of 1.8 trillion  dollars, a PE ratio of 69 and no dividend yield. 

Amazon was one of the major  beneficiaries of the 2020 crash. 

They could actually grow their  revenues by 38% year over year. 

Their cloud service AWS is the market  leader and an absolute profit machine. 

And its e-commerce business is one  of the largest in the world which  

makes it incredibly hard for competitors. And on top of that, Amazon keeps finding  

new growth channels like smart  homes, healthcare and many more. 

In position number 4, we have a Bond  ETF, the Vanguard Intermediate-Term  

Corporate Bond ETF - ticker symbol VCIT. It makes up 3.2% of Ken Fisher’s total portfolio. 

The VCIT holds over 2,000  bonds and has a yield of 2.2%. 

The VCIT has a net asset value of  45 billion dollars which makes it  

the largest corporate bond ETF out there. It mainly invests in A and BBB-rated US corporate  

bonds with 5 - 10 years remaining until maturity. Corporate bonds are a good way to diversify your  

stock market portfolio and to get higher  yields than the usual government bonds. 

If you want to know why holding government bonds  could be a bad idea, then check out the link. 

In position number 5, we have Alphabet. It makes up 3.1% of Ken Fisher’s total portfolio. 

Alphabet is a holding company and was created  after a restructuring of Google in 2015. 

Now, Alphabet holds Google which holds services  like Google Ads, Google Cloud, YouTube,  

Android and Other Bets which is their venture arm. Last year, Alphabet made over 182  

billion dollars in revenues. 47% of those revenues were generated  

in the US, 30% in Europe and the Middle East,  18% in Asia Pacific and 5% in Other Americans. 

Alphabet makes 93% of their revenues  from Google Services such as Google  

Search and YouTube Ads, 7% from Google  Cloud and less than 1% from Other Bets. 

It currently has a market cap of 1.9 trillion  dollars, a PE ratio of 28 and no dividend yield. 

Digital advertising still makes up  the majority of Google’s revenue. 

And that’s the company's cash cow. But the company is heavily investing into other  

areas like cloud computing and consumer hardware. And that’s where the future growth  

of the company could come from. But Google has a big competitor: Amazon! 

Amazon is getting into many fields where Google  was once dominating: Voice search through Alexa,  

digital advertising through its e-commerce  platform and cloud computing through AWS. 

In position number 6, we have Visa. It makes up 2.5% of Ken Fisher’s total portfolio. 

Visa is one of the largest digital  payment companies globally,  

operating in more than 200 countries. In terms of payment volume, they are the number 1  

globally ahead of Mastercard and American Express. Its core business comes from credit, debit and  

prepaid card services as well as Global ATMs. It’s not VISA itself that provides the cards,  

but actually VISA’s institutional clients. Visa makes its profits by acting as a middleman  

between financial institutions and merchants. But it’s also diversified into services such as  

data processing and analytics services. Last year, Visa made over 21 billion  

dollars in revenues. 46% of those revenues were  

generated in the US and 54% outside the US. Visa makes 34% of their revenues from their  

Service segment, 39% from Data  Processing, 22% from International  

Transactions and 5% from Others. It currently has a market cap of  

430 billion dollars, a PE ratio of  35 and a dividend yield of 0.8%. 

VISA is the largest digital payment  company and offers a great dividend yield. 

But the payment industry is changing quickly. FinTechs and new technologies like cryptos and  

digital wallets mean that VISA  will be challenged in the future. 

The top 6 positions alone make up  23% of Ken Fishers total portfolio. 

From number 7 to 15, the holdings are  becoming smaller and smaller, but there  

are still some noteworthy investments here. That’s why we will quickly go through them. 

Number 7 is CRM software  provider Salesforce with 2.3%. 

In position number 8 you have Adobe which  is known for its multimedia and creativity  

software products with 2.3%. At Number 9 you will find  

online payment platform PayPal with 1.9%. In position number 10 you have the Dutch  

manufacturer of chip-making  equipment ASML with 1.9%. 

Number 11 is chipmaker Taiwan  Semiconductor with 1.8%. 

In position number 12 you have  VISA-rival American Express with 1.6%. 

At number 13 you will find Meta with 1.6%. Number 14 is Netflix, again, with 1.6%. 

And last but not least US home  improvement retailer Home Depot  

on position number 15 with 1.5%. The top 15 alone make up  

39% of Ken Fisher's total portfolio. So we’re not gonna go through every  

single investment of Ken Fisher in this video  because he has a total of over 1,000 holdings. 

The rest of the portfolio is filled  with smaller positions in companies  

that make up 1% or less of his total portfolio. The 1,000 remaining companies that we haven’t  

looked at in this video make  up 60% of its total portfolio. 

But what you can see in this portfolio  breakdown is that Ken Fisher takes  

diversification very seriously. In total, he invests in over 1,000  

stocks - so we are talking about  a mega diversified portfolio here. 

It’s very heavy on Big Tech - which I really like. And Ken Fisher doesn’t have a single stock that  

makes up the majority of the fund. But what do you actually think  

about Ken Fisher’s portfolio? Is that a portfolio you would invest in? 

What would you do differently? As always - let me know in the  

comment section below. I hope that this  

video could bring some value to you. If you liked what you saw and you want to support  

this channel, then please make sure you subscribe. Thank you very much for doing that and peace!