CNN
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The mystery is solved: Warren Buffett’s Berkshire Hathaway has revealed a major stake in insurance company Chubb, finally revealing the investment he has kept secret since last year.
Berkshire revealed it acquired nearly 26 million shares of Chubb in a Wednesday filing with the Securities and Exchange Commission of the company’s first-quarter investments. This represents a value of approximately $6.7 billion.
Buffett’s company had shielded the position from public knowledge while building its stake, requesting “confidential treatment” from the SEC in past filings.
Chubb, an insurance company with operations in 54 countries, made headlines in March after the company underwrote President Donald Trump’s nearly $92 million appeal bond in E. John Carroll.
Buffett, the Berkshire CEO famous for his investing prowess, has amassed a sizable following of investors who mimic his portfolio moves. Berkshire Hathaway’s stake in Chubb is no exception. Chubb shares jumped more than 8% after hours Wednesday.
Buffett’s bet on Chubb is familiar territory: Insurance companies Geico, National Indemnity and General Re are all subsidiaries of Berkshire Hathaway.
The investment in Chubb highlights Berkshire Hathaway’s investment strategy in recent months. It appears to have doubled down on financial companies like Ally Financial, American Express and Bank of America, while reducing its investments in consumer products.
In February, Berkshire revealed that it had sold 10 million shares of Apple stock in the first three months of the year, although Apple remains Berkshire’s largest investment. Berkshire also sold 80 million shares of printing company HP in the fourth quarter of 2023, reducing its stakes by 78%.
– CNN’s Nicole Goodkind contributed reporting.