Seth Klarman’s Top Holdings, Trades & Investment Strategy
Sunday, May 17, 2026 · Johnny Hopkins
Baupost Group LLC reported an equity portfolio of approximately $5.12 billion in the latest reported quarter, continuing Seth Klarman’s long-standing value-oriented investment approach focused on downside protection, opportunistic capital allocation, and concentrated investments in businesses trading below intrinsic value.
Known for his disciplined and patient investing style, Klarman’s portfolio reflects a preference for deeply researched, high-conviction positions across a mix of technology, industrial, consumer, healthcare, and financial businesses. Baupost has historically emphasized risk-adjusted returns, balance sheet strength, and situations where market pessimism may be overstating long-term risks.
The portfolio remains moderately concentrated, with the top 10 holdings accounting for approximately 73.94% of total assets. Consistent with Baupost’s historically selective style, turnover appears relatively low, with activity focused primarily on incremental adjustments, selective additions, and a handful of meaningful exits rather than broad portfolio repositioning.
Portfolio Snapshot
Total Portfolio Value: ~$5.12B
Top 10 Weight: 73.94% (highly concentrated)
Turnover: Low — selective adjustments within core holdings
Top Holdings & Weights
Amazon.com (AMZN) — ~$649.5M (12.70%)
Restaurant Brands International (QSR) — ~$597.2M (11.67%)
Wesco International (WCC) — ~$393.2M (7.69%)
Union Pacific (UNP) — ~$373.9M (7.31%)
Elevance Health (ELV) — ~$373.3M (7.30%)
Alphabet Class C (GOOG) — ~$338.8M (6.62%)
Ferguson Enterprises (FERG) — ~$336.5M (6.58%)
Willis Towers Watson (WTW) — ~$259.6M (5.08%)
Aon PLC (AON) — ~$248.2M (4.85%)
Visa (V) — ~$212.0M (4.14%)
Key Takeaways
Diversified High-Quality Franchise Exposure
Baupost’s largest positions remain concentrated in durable, large-scale franchises with strong competitive positions and significant free cash flow generation. Amazon, Alphabet, Visa, and Restaurant Brands all benefit from powerful network effects, scale advantages, and resilient long-term demand characteristics.
Balanced Exposure Across Cyclical & Defensive Businesses
The portfolio combines economically sensitive industrial and infrastructure businesses such as Wesco International, Ferguson Enterprises, and Union Pacific with more defensive holdings including Elevance Health, Aon, and Willis Towers Watson. This balance reflects Klarman’s historically cautious approach toward macro uncertainty while still maintaining exposure to long-term growth opportunities.
Focus On Cash Flow & Market Leadership
Many of Baupost’s largest holdings operate in industries with high barriers to entry, recurring revenue streams, or dominant market positioning. The emphasis on scalable businesses with durable earnings power aligns closely with Klarman’s long-standing focus on preserving capital while compounding value over time.
Biggest Changes Last Quarter
Notable Additions
Amazon.com (AMZN)
Shares increased by +997,363 (+47.01%)
→ Baupost significantly expanded its Amazon position during the quarter, suggesting growing confidence in the company’s long-term cash flow generation, cloud leadership, and improving profitability profile.
Ferguson Enterprises (FERG)
Shares increased by +305,376 (+26.86%)
→ The sizable increase in Ferguson may reflect optimism around infrastructure spending, construction demand normalization, and the company’s strong distribution platform.
Alphabet Class C (GOOG)
Shares increased by +93,950 (+8.64%)
→ The additional buying indicates continued confidence in Alphabet’s dominant digital advertising ecosystem, AI positioning, and substantial free cash flow generation.
New Positions
Aon PLC (AON)
Shares added: 769,000
→ Baupost initiated a substantial new position in Aon, likely attracted by the company’s recurring revenue model, strong margins, and resilient insurance brokerage business.
Visa (V)
Shares added: 701,355
→ The new Visa position adds exposure to global payment infrastructure and long-term secular growth in digital transactions.
Teleflex (TFX)
Shares added: 1,595,000
→ The large new healthcare position may reflect Klarman’s interest in defensive medical technology businesses with durable demand characteristics.
Full Exits Last Quarter
Fidelity National Information Services (FIS)
Dollar General (DG)
Fiserv (FI)
CRH PLC (CRH)
Liberty Global Ltd (LBTYA)
Tamboran Resources Corp (TBN)
→ Baupost exited several positions across financial technology, retail, industrial materials, and telecommunications, potentially reflecting a reassessment of valuation opportunities relative to newer ideas added during the quarter.
Summary
Baupost Group’s latest filing continues to reflect Seth Klarman’s disciplined, value-oriented investment philosophy centered around capital preservation, selective concentration, and long-term intrinsic value. The portfolio remains anchored by high-quality businesses with durable competitive advantages, strong balance sheets, and significant cash flow generation.
Recent activity suggests Baupost is selectively increasing exposure to dominant platform businesses such as Amazon and Alphabet while also adding meaningful positions in financial infrastructure and healthcare. At the same time, several full exits indicate ongoing portfolio refinement rather than aggressive repositioning.
Overall, the filing highlights a measured and opportunistic approach consistent with Klarman’s reputation for patience, valuation discipline, and willingness to concentrate capital in situations where risk and reward appear asymmetric.