Li Lu - Himalaya Capital Management
Li Lu - Himalaya Capital Management Q1 2025 Portfolio
Himalaya Capital Management , a value investing firm managed by Li Lu, disclosed 8 security holdings in their SEC 13F filing for the first quarter of 2025, with a total portfolio value of $2,212,436,862
Li Lu's Himalaya Capital Management
As of Q1 2025, Li Lu's portfolio at Himalaya Capital Management continues to showcase a disciplined, value-oriented strategy with significant changes from the previous quarter. Now valued at $2.21 billion, the portfolio demonstrates Li Lu's conviction in high-quality financial institutions and technology leaders, though with notable reductions in several key positions.
Top Holdings
Portfolio Strategy Analysis
Q1 2025 marks a significant shift in Li Lu's approach, with substantial reductions in three key holdings. Bank of America (-23.42%), Alphabet Class C (-19.47%), and most notably Apple (-65.19%) all saw major cuts. These moves likely represent a combination of profit-taking, valuation concerns, and portfolio rebalancing rather than a fundamental loss of confidence. The selective nature of these reductions—maintaining full positions in several other holdings—suggests a deliberate recalibration rather than a defensive retreat from equities.
Despite reducing his Bank of America position, Li Lu maintains significant exposure to financial services, which still represent approximately 59% of the portfolio when combining BAC, BRK.B, and EWBC. The maintenance of his full position in East West Bancorp alongside the reduced but still substantial BAC stake suggests continued conviction in banking fundamentals, albeit with some valuation sensitivity. Berkshire Hathaway's increased prominence in the portfolio (now the second-largest position) provides diversified exposure to multiple sectors through its conglomerate structure.
Li Lu's approach to technology has become increasingly selective. While maintaining his full Alphabet Class A position, he reduced Alphabet Class C shares and dramatically cut his Apple stake. This suggests a preference for companies with diverse revenue streams and emerging AI capabilities (Alphabet) over pure consumer hardware plays. The differential treatment between Alphabet's share classes may also indicate a strategic preference for voting rights, giving Li Lu a voice in corporate governance while still optimizing position sizes.
Conclusion
Li Lu's Q1 2025 portfolio adjustments reveal a more cautious approach to certain market segments while maintaining core convictions. The substantial reductions in Bank of America, Alphabet Class C, and Apple likely represent profit-taking after strong performance rather than abandonment of these companies' long-term prospects.
The increased prominence of Berkshire Hathaway in the portfolio highlights Li Lu's continued affinity for Warren Buffett's value-oriented investment approach. Meanwhile, the maintained positions in East West Bancorp, Occidental Petroleum, and Sable Offshore demonstrate commitment to his diversification strategy across financial services and energy.
Overall, the Q1 2025 changes suggest a tactical recalibration while preserving Li Lu's fundamental investment philosophy focused on quality businesses with strong competitive positions. The portfolio remains concentrated with just eight positions, reflecting his high-conviction approach to capital allocation.
Himalaya Capital Management LLC Portfolio Analysis
Based on 13F filing for reporting period: Q1, 2025
Portfolio Manager
Li Lu
Filing Date
May 15, 2025
Total Value
$2,212,000,000+
Number of Positions
8
Portfolio Allocation
Holdings Breakdown
| Rank | Company Name | % of Portfolio | Q1 Activity | Ticker | Shares | Market Value ($) |
|---|
Who is Li Lu ?
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1966:
Born on April 6 in Tangshan, Hebei, China.
1976:
Survived the Tangshan earthquake, one of the deadliest in recorded history.
1985:
Enrolled at Nanjing University, initially majoring in Physics before transferring to Economics.
1989:
Became a leading figure in the Tiananmen Square student protests, organized students, and participated in a hunger strike. Fled to New York City after the protests were suppressed.
1990:
Published “Moving the Mountain: My Life in China,” a book about his experiences in China and the Tiananmen Square protests.
1990s:
Enrolled at Columbia University, first in the American Language Program, then in the School of General Studies, and later transferred to Columbia College.
1993:
 Inspired to pursue investment after attending a lecture by Warren Buffett at Columbia University.
1996:
Graduated from Columbia University with three degrees: a B.A. in economics, an M.B.A., and a J.D. Began a career in investment banking as a corporate finance associate at Donaldson, Lufkin & Jenrette.
1997:
Founded Himalaya Capital Management, focusing on a disciplined and value-oriented approach to investing.
2003:
Met Charlie Munger, who became an investor in his fund and a mentor. This relationship led to the transformation of his hedge fund into a long-only investment vehicle.
2004-2013:
The fund was closed to new investors and focused on global investment opportunities without charging a management fee.
2010:
Withdrew from consideration to manage a significant portion of Berkshire Hathaway’s investment portfolio post-Warren Buffett.
2020:
Elected to The American Academy of Arts and Sciences. Co-founded the Guardians of the Angeles Charitable Foundation to address the global COVID-19 crisis. Published “Civilization, Modernization, Value Investment and China.”
2021:
Co-founded The Asian American Foundation, serving as its chairman, to support Asian American and Pacific Islander communities. Himalaya Capital Management reported managing almost US$18.5 billion in capital.
Ongoing:
Serves as a trustee for both Columbia University and the California Institute of Technology (Caltech). Recognized with several awards and honors, including the John Jay Award from Columbia College, the Raoul Wallenberg Human Rights Award, and the Reebok Human Rights Award. Featured in the Smithsonian Institute’s “Many Voices, One Nation” exhibition.
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Li Lu's Investing Principles
Investing is about intellectual honesty. You want to know what you know. You want to know, mostly, what you don’t know.
Part of the game of investing is to come into your own. You must find some way that perfectly fits your personality because there is some element of a zero sum game in investing.
Investing is about predicting the future, and the future is inherently unpredictable. Therefore, the only way you can do better is to assess all the facts and truly know what you know and know what you don’t know. That’s your probability edge.
The game of investing is a process of discovering who you are, what you’re interested in, what you’re good at, what you love to do, then magnifying that until you gain a sizable edge over all the other people.
Being a value investor means you look at the downside before looking at the upside.
Because in investing the more you know the better off you are.
Stocks aren’t just little pieces of paper that you buy and sell. Each one is in fact a certificate bestowing fractional ownership of a company
As far as I can observe and speak to with statistics, there has only been one style which has reliably and safely brought investors exceptional long-term returns: value investing.
