Here's Bruce Berkowtiz's Big Bullish Presentation On Bank of America

Berkowitz

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Fairholme Capital’s Bruce Berkowitz has been hit with a massive wave of redemptions and losses from his bullish bets on financials.The fund’s total AUM has declined to under $10 billion from $23 billion, Jacob Wolinsky from ValueWalk reported.

In the latest 13F filing released last week, Berkowitz sold his entire stake in Morgan Stanley and reduced his shares in Goldman Sachs and Citigroup.

However, Berkowitz added an additional 5.3 million shares in Bank of America as of September 30 making his current stake more than 105 million shares. 

This move clearly indicates that Berkowitz sees value in the embattled Charlotte, North Carolina-based bank. 

What’s more is back in August Berkowitz hosted a conference call with BofA’s chief executive Brian Moynihan to calm investor concerns about the slide in the bank’s stock. 

Berkowitz recently released this presentation explaining his stake in Bank of America [via Jacob Wolinsky at ValueWalk]  

Berkowitz uses Bank of America as a case study to explain Fairholme Capital's investment strategy.

Here Berkowitz gives the rundown of Fairholme's performance numbers as of September 30.

Here's his list of guiding principles for investing.

Despite this year's losses, Fairholme's showed good performance numbers since its inception.

He notes even the most successful fund have rough patches.

Berkowitz says when investors are fearful and prices are low, Fairholme buys.

Berkowitz's Fairholme believes in Bank of America's leadership and long-term prospects.

Basically the Countrywide loans legacy is masking Bank of America's strong franchises.

Berkowitz said it before back in 1992.

Berkowitz Isn't the Only One With Principles

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