Core Viewpoint - Warren Buffett's Berkshire Hathaway has completely divested its shares in BYD, citing increased competition in the Chinese automotive industry, slowing performance, and geopolitical risks as key reasons for the decision [3][4][5]. Group 1: Reasons for Selling BYD - Increased competition in the Chinese automotive sector has led to a slowdown in BYD's performance, with five out of six major automotive companies reporting reduced profits or losses in the first half of 2025 [3]. - The profit growth rate of BYD has also declined compared to the previous year, indicating a potential ceiling on its performance [3]. - Geopolitical risks have influenced Berkshire's decision to reduce its stake in BYD, with the holding dropping below 5% by June 2024 [4]. Group 2: Shift to Japanese Investments - Berkshire Hathaway has increased its stake in Japanese trading company Mitsui & Co., with the shareholding exceeding 10% as of September 22 [7]. - The company has expressed a commitment to continue seeking investment opportunities in Japanese enterprises, viewing this as a strategic shift away from Chinese stocks [5][6]. - The positive market reaction to Berkshire's investment in Mitsui & Co. was evident, with the stock price rising to a new high since July 2024 following the announcement [7].

Core Viewpoint - Berkshire Hathaway has increased its stake in Japan's Mitsui & Co. to over 10%, with potential for further increases in the future [2][3]. Group 1: Stake Increase and Corporate Strategy - In February, Buffett indicated that Japanese companies agreed to "moderately" relax the 10% ownership cap [2]. - As of September 22, Berkshire's voting rights stake in Mitsui & Co. has surpassed 10%, and there is a possibility of further acquisitions [2]. - On August 28, Mitsubishi Corporation announced that Berkshire's voting rights stake increased from 9.74% to 10.23% [2]. Group 2: Investment Approach - Since 2019, Berkshire has focused on high-credit Japanese companies, utilizing low-interest yen bonds to invest in major trading firms [2]. - On April 11, Berkshire priced a total of 90 billion yen in six series of yen-denominated bonds, marking the lowest issuance scale in history [2]. Group 3: Market Performance - As of September 22, the stock prices of the five major trading companies, including Mitsui & Co. and Mitsubishi Corporation, have all seen gains [3]. - Currently, the stock prices of Japan's five major trading companies are at their highest valuation levels in 20 years [4].

Group 1 - Berkshire Hathaway has become a major shareholder in Mitsui & Co., increasing its voting rights stake to over 10% and indicating potential for further investment [1] - Initially, Berkshire planned to keep its stake in Mitsui below 10%, but the company has agreed to relax this restriction [1] - Mitsui & Co. engages in product sales and develops international infrastructure projects across various sectors, including steel, minerals, energy, and IT [3] Group 2 - Since Buffett's announcement in 2020 regarding investments in Japan's major trading companies, stocks of these companies, including Mitsui, have significantly outperformed the Tokyo Stock Exchange index [3] - Mitsui's stock price rose from 809.2 yen at the end of 2020 to 3,774 yen as of September 22, 2023, marking an increase of nearly four times over five years [3] - Foreign investors have shown strong interest in Japan's long-term government bonds, with net purchases reaching 2,045 million yen in August, the longest streak of net buying since March 2021 [5]

Group 1 - Berkshire Hathaway has increased its stake in Mitsui & Co. to over 10%, marking it as a "major shareholder" [1] - This move signals Warren Buffett's confidence in the Japanese market, following a similar increase in Mitsubishi Corporation [1] - Following the announcement, Mitsui & Co.'s stock price rose by 2.2% before settling at a 1.75% increase, with other major trading companies also experiencing stock price gains [1] Group 2 - The increase in stake represents a subtle shift in Berkshire's investment strategy, as the company initially aimed to keep its holdings below 10% [4] - Japanese companies have agreed to "moderately" relax the holding limit, allowing Berkshire to become a major shareholder and engage more deeply in their future developments [4] - Analysts view Buffett's continued investment as a positive signal for Japanese trading companies, which have shown resilience amid commodity price fluctuations and have focused more on shareholder returns [4]

Core Viewpoint - Berkshire Hathaway, led by Warren Buffett, has increased its stake in Mitsui & Co. to over 10%, signaling confidence in the Japanese market and potentially considering further investments [1][2]. Group 1: Investment Strategy - This increase marks a subtle shift in Berkshire's investment strategy, as Buffett initially planned to keep holdings in Japan's top five trading companies below 10% [4]. - The agreement from these Japanese companies to "moderately" relax the holding limit has paved the way for Berkshire to become a "major shareholder," allowing deeper involvement in their future developments [4]. Group 2: Market Reaction - Following the announcement, Mitsui & Co.'s stock price rose by 2.2% before settling at a 1.75% increase, with other major trading companies also experiencing stock price gains [2]. Group 3: Unique Value Proposition - Analysts highlight that Buffett's continued investment underscores the unique commercial value of Japanese trading companies, which have shown resilience amid commodity price volatility due to their diversified business structures [4]. - These companies have increasingly focused on shareholder returns, enhancing their attractiveness as investment opportunities [4].

Core Viewpoint - Berkshire Hathaway, led by Warren Buffett, has increased its stake in Japan's Mitsui & Co. to over 10%, becoming a major shareholder, which signals confidence in the Japanese market [1][3]. Group 1: Investment Strategy Shift - The increase in stake marks a subtle shift in Berkshire's investment strategy, as Buffett initially planned to keep holdings in Japan's top five trading companies below 10% [5]. - The companies have agreed to "moderately" relax the holding limit, allowing Berkshire to surpass the 10% threshold and engage more deeply in the future development of these Japanese giants [5]. - Analysts view Buffett's continued investment as a positive signal for Japanese trading companies, which have shown strong stock performance since his initial endorsement in 2020 [5]. Group 2: Market Reaction - Following the announcement, Mitsui & Co.'s stock price rose by 2.2% at one point, with other major trading companies also experiencing stock price increases [1][3]. - The positive market response reflects investor sentiment towards the stability and growth potential of Japanese trading companies [3]. Group 3: Unique Business Value - Buffett's ongoing investment highlights the unique business value of Japanese trading companies, which have a highly diversified business structure, providing resilience during commodity price fluctuations [5]. - These companies have increasingly focused on shareholder returns, enhancing their attractiveness as investment opportunities [5].

Group 1 - Berkshire Hathaway, led by Warren Buffett, has increased its stake in Mitsui & Co., becoming a major shareholder with over 10% voting rights, indicating strong confidence in the long-term investment appeal of Japanese trading companies [1] - Following the announcement, Mitsui & Co.'s stock price rose by up to 2.2%, and other major trading companies in Japan also saw their stock prices increase [1] - Buffett initially disclosed his holdings in Japan's five major trading companies in 2020, and these companies have consistently outperformed the Japanese Topix index, benefiting from Buffett's endorsement [1] Group 2 - Analyst Ryunosuke Shibata from SBI Securities noted that while the increase in stake in Mitsui & Co. was not unexpected, Buffett's continued investment will provide strong upward momentum for the Japanese trading sector [2] - The diversified business nature of Japanese trading companies allows them to better navigate commodity price fluctuations compared to their overseas counterparts, while also increasing shareholder returns [2]

Group 1 - Berkshire Hathaway, led by Warren Buffett, has increased its stake in Mitsui & Co. to over 10%, marking it as a "major shareholder" [1] - This move signals Buffett's confidence in the Japanese market, following a similar increase in stake in Mitsubishi Corporation [1] - The market reacted positively, with Mitsui & Co.'s stock price initially rising by 2.2% before settling at a 1.75% increase, while other major trading companies also saw stock price increases [1] Group 2 - The increase in stake represents a subtle shift in Berkshire's investment strategy, as Buffett initially planned to keep holdings below 10% [4] - Japanese companies have agreed to "moderately" relax the holding limit, allowing Berkshire to become a major shareholder and engage more deeply in their future developments [4] - Analysts view Buffett's continued investment as a positive signal for Japanese trading companies, which have shown resilience amid commodity price fluctuations and have focused more on shareholder returns [4]

Group 1 - The Nikkei 225 index rose by 1.46%, with Nikkei ETFs increasing over 2%, indicating a positive market trend in Japan [1] - Foreign investors are reshaping the structure of the Japanese capital market, highlighted by Berkshire Hathaway increasing its stake in Mitsubishi Corporation to 10.23% [1] - Mitsubishi Corporation and Mitsui & Co. are engaging in discussions with Berkshire Hathaway regarding their shareholdings, reflecting ongoing interest from foreign investors [1] Group 2 - The manager of the Nikkei 225 ETF E Fund anticipates a stable domestic demand supported by a virtuous cycle of wages and inflation, despite external uncertainties [2] - The Bank of Japan is expected to gradually normalize its monetary policy, focusing on interest rate hikes and balance sheet reduction, which will be key market focal points [2] - Ongoing corporate governance reforms in Japan are encouraging companies to prioritize shareholder returns, such as increasing dividends and stock buybacks, attracting long-term value investors [2] Group 3 - The Nikkei 225 index serves as a key benchmark for the Japanese stock market, reflecting the performance of 225 major blue-chip companies and the overall economic recovery [3] - The index's performance has outpaced Japan's nominal GDP growth, drawing renewed attention from global investors amid corporate governance reforms and global supply chain restructuring [3] - The E Fund manager notes that Japan's economy faces challenges from inflation, trade policy uncertainties, and geopolitical tensions, which could impact growth [3] Group 4 - Key variables to watch in the second half of the year include the outcomes of the Japanese Senate elections and progress in US-Japan tariff negotiations [4] - The Japanese stock market is expected to maintain upward momentum due to factors such as potential interest rate cuts by the Federal Reserve and strong performance in the technology sector [4] - The exchange rate of the yen will be influenced by the pace of monetary policy divergence, economic data validation, and geopolitical developments, with a slight appreciation against the RMB anticipated [4]

Group 1 - Berkshire Hathaway's subsidiary has increased its voting rights stake in Mitsubishi Corporation from 9.74% in March to 10.23% [1] - Following the announcement, Mitsubishi Corporation's stock rose by 2.9%, marking the largest increase in three weeks, while Mitsui & Co. saw a 1.8% increase [1] - The investment in Japan's five major trading companies began in August 2020, with Berkshire acquiring 5% stakes in each for approximately $30 billion [1] Group 2 - The five major trading companies control significant sectors of the Japanese economy, with Mitsubishi handling 1/5 of global LNG trade and Itochu deeply involved in renewable energy [2] - Japan's unique "trading company model" relies heavily on trade, with 90% of its GDP dependent on it, aligning well with Berkshire's "holding + operation" strategy [2] - Recent corporate governance reforms in Japan have provided institutional benefits for investors like Buffett, with a projected stock buyback scale of 16.8 trillion yen in 2024 [2] Group 3 - As of August 28, the Tokyo Stock Exchange index has risen by 0.65%, with a cumulative increase of over 30% since the low point on April 7 [3] - The surge in the Tokyo Stock Exchange index is largely driven by foreign investors, with continuous net inflows being a key factor in the rebound since April [5]