Bruce Berkowitz must be making some hard decisions these days. He is forced to sell the financial stocks that he loves and has convictions in. But apparently shareholders do not agree with him. They vote with their feet, although many of them may have deep losses.
Fairholme Fund’s asset is down to $8 billion, about 6% of the fund is cash, as of Nov. 30, 2011. At the same time Bruce Berkowitz becomes an idiot. Just 9 short months ago, the fund had more than $20 billion and Bruce could do nothing wrong. It is amazing how fast investors piled into his funds, how fast they flee, and how quickly they change their views.
The fund’s redemptions must be continuing, at least until December of 2011, as the asset shrank to $7 by the end of 2011. You may wonder how those people feel as they see the strong recovery of financial stocks after the new year.
Fairholme Focused Income Fund, the new fund Bruce Berkowitz started at the height of his fame, shrank to $300 million. 9 months ago the fund had $455 million.
This is the portfolio chart of Fairholme Fund. You can click on the legend of the chart to show/hide buys, sells, or holdings. Each ball on the chart represents a position in the portfolio. You can move your mouse on the balls to see the details of each position and click to see the details of all guru trades with this position.
These are the summary of the trades of the funds during the 3 months
Fairholme Focused Income Fund.
The fund has sold every stock other than Bank of America. This is the summary:
his latest shareholder letter.
These are the details buys and sells of Fairholme Focused Income Fund and Fairholme Fund.