Apple

Berkshire Hathaway recently added 20.4 million shares of Apple, which now makes up about half its equity holdings. More recent moves suggest Warren Buffett may now be returning to his historical focus on value, via old-school energy investments.

Investors and advisers have a tendency to extrapolate recent events into the future, and the last six months have shown how dangerous this can be. For those reviewing and building portfolios as the new financial year begins, five key issues should be front of mind.

The benchmark S&P 500 index is characterised by “narrow, concentrated leadership” by a handful of mega-caps, leading to the “optical illusion” of outsized performance by US equities, says private investment manager Neuberger Berman.

Large language models like ChatGPT are part of a long technology continuum driven by Moore’s law, the observation that transistor capacity doubles every two years. To get in on AI’s surging growth, says Munro Partners’ Nick Griffin, investors should focus on the big – and not-so-big – names already poised to come out on top in the “race to shrink”.

In hindsight, March 2nd, 2020, as the world started to get to grips with the scale of the global health emergency that was unfolding in the form of the Covid-19 pandemic, was an inauspicious time to launch a new investment product. In fact, the S&P/ASX 200 Index is down 19% since that day – after…