Buffet's Berkshire Taking Interest in Technology: ETFs to Play
Zacks Investment Research | Sep 18, 2020 02:30AM ET
Billionaire investor Warren Buffett is known for his value style of investing and BRK-B has also started taking interested in tech shares.
And why not? Technology stocks and ETFs have been the star performers in recent times. Instead of taking the shine out of it, the coronavirus outbreak has added more to the sector. Social distancing norms enacted globally to mitigate the spread of the virus compelled people to stay at home, binge on online shopping and work as well as learn from home.
The rapid emergence of cutting-edge technology, including cloud computing, big data, IoT, VR, AI, has been driving the sector. The growing adoption of 5G technology — the next wireless revolution — is opening up further opportunities. And most importantly, tech companies are cash-rich.
Against this backdrop, below we highlight some of Berkshire’s hot tech possessions that you could also follow.
h3 Warren Buffett Bets Big on Apple/h3Apple Warren Buffett Bets Big on Apple: Buy These ETFs ).
iShares Dow Jones US Technology ETF about $1 billion of Amazon shares in 2019 .
Buffett has said repeatedly that Amazon is a great company and regretted not buying its shares in the past. Amazonis heavy on ETFs likeFidelity MSCI Consumer Discretionary Index ETF from another stockholder . And Buffett-backed Snowflake's value doubled on its stock market debut.
Berkshire Hathaway made about $800 million from Snowflake’s market debut on Sep 16, despite Warren Buffett’s reluctance for IPOs. Though shares have fallen more than 10% on Sep 17, such decline after a monstrous debut is not uncommon in the IPO field.
To catch Snowflake in the basket form, one may tap Renaissance IPO ETF Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
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