Berkshire Hathaway (BRK.B) Benefited from Exposure To P&C Insurance

Qualivian Investment Partners, an investment partnership focused on long-only public equities, released its Q1 2025 investor letter. A copy of the letter can be downloaded here. The fund outperformed the iShares MSCI USA Quality Factor ETF (QUAL) by 66.0% and 59.4% on a gross and net basis, since inception through March 31, 2025. It also exceeded the S&P 500 by 32.7% and 26.1% respectively, on a gross and net basis. In Q1 2025, the fund outperformed QUAL by 5.3% and 5.2% on a gross and net basis, and we outperformed the S&P 500 by 5.2% and 5.1% on a gross and net basis. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its first-quarter 2025 investor letter, Qualivian Investment Partners highlighted stocks such as Berkshire Hathaway Inc. (NYSE:BRK-B). Berkshire Hathaway Inc. (NYSE:BRK-B) engages in the insurance, freight rail transportation, and utility businesses. The one-month return of Berkshire Hathaway Inc. (NYSE:BRK-B) was -2.42%, and its shares gained 19.32% of their value over the last 52 weeks. On June 30, 2025, Berkshire Hathaway Inc. (NYSE:BRK-B) stock closed at $485.77 per share, with a market capitalization of $1.048 trillion.

Qualivian Investment Partners stated the following regarding Berkshire Hathaway Inc. (NYSE:BRK-B) in its Q1 2025 investor letter:

"In part as a result of this sector rotation, our top 3 contributors in the quarter were O’Reilly Automotive (ORLY), Berkshire Hathaway Inc. (NYSE:BRK-B), and Arthur J. Gallagher (AJG).

AJG and BRK.B benefited from their exposure to P&C insurance in Q1 2025. P&C stocks outperformed in the quarter due to their defensive nature. AJG is the leading P&C insurance brokerage in the middle market, and BRK.B has substantial exposure to P&C insurance."

Berkshire Hathaway Inc. (NYSE:BRK-B) is in 15th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 125 hedge fund portfolios held Berkshire Hathaway Inc. (NYSE:BRK-B) at the end of the first quarter, which was 131 in the previous quarter. While we acknowledge the potential of Berkshire Hathaway Inc. (NYSE:BRK-B) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the undervalued AI stock set for massive gains.

In another article, we covered Berkshire Hathaway Inc. (NYSE:BRK-B) and shared the list of stocks Jim Cramer recently discussed. In addition, please check out our hedge fund investor letters Q1 2025 page for more investor letters from hedge funds and other leading investors. While we acknowledge the potential of BRK-B as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.