Investment Managers - Explained
A beginner-friendly explanation of Investment Managers in value investing.
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Investment Managers Explained
Todd Combs and Ted Weschler, the two investment managers hired by Buffett to manage portions of Berkshire's equity portfolio with $10-20B+ mandates each.
What It Means for Investors
The Two Managers
Todd Combs
| Attribute | Details |
|---|---|
| Hired | 2011 |
| Mandate | ~$10-15B initially |
| Background | Former hedge fund manager |
| Investment Style | Concentrated, high-conviction |
Ted Weschler
| Attribute | Details |
|---|---|
| Hired | 2012 |
| Mandate | ~$10-15B initially |
| Background | Former hedge fund manager |
| Investment Style | Concentrated, long-term |
Why Hire Investment Managers?
Capacity Problem
At Berkshire's scale:
- Single-stock positions become too large
- Need multiple managers to deploy capital
- Can't buy small-caps meaningfully
"With our size, we need to have multiple people making decisions."
Key Takeaway
Todd Combs and Ted Weschler, the two investment managers hired by Buffett to manage portions of Berkshire's equity portfolio with $10-20B+ mandates each.