Chuck Akre is fast-becoming one of the investing greats of this generation.
His Akre Focus Fund (the retail class) has achieved an annualised return of 16.72% since its inception in August 2009.
The fund’s return easily outpaces the 14.14% annual gain of the S&P 500 over the same time frame.
As its name suggests, the Akre Focus Fund focuses its investments on only a small number of high-quality businesses (as of the fourth quarter of 2019, the fund only had 19 holdings).
These are companies that meet Chuck Akre’s high standards related to (1) the quality of their businesses, (2) the people who manage them, and (3) their ability to reinvest capital at high returns.
The Akre Focus Fund holds these companies for the long-term, allowing them to compound over time. Based on his fund’s results, this relatively straightforward strategy has worked tremendously well for Akre and his investors.
With that in mind, I want to highlight five things I learnt from Chuck Akre’s interviews and writings.