Mohnish Pabrai: Berkshire, Big Mistakes & Letting Winners Run (TIP812)

Watch on YouTube ↗  |  May 02, 2026 at 22:45  |  1:02:46  |  We Study Billionaires
Speakers
Mohnish Pabrai — Investor, Pabrai Investment Funds

Summary

Mohnish Pabrai discusses Berkshire Hathaway's transition to Greg Abel, the importance of letting winners run, and his investments in coal companies and Constellation Software. He advocates for a diversified long-term portfolio of Berkshire, S&P 500, and an international index. He shares lessons from his past mistakes like selling Frontline too early.

  • Greg Abel is underpaid relative to value created, and will bring tighter operations at Berkshire.
  • Most investments fail, but a few big winners drive returns (4% rule).
  • For 100-year holding, recommend 1/4 each in Berkshire, S&P 500, and an international index.
  • Mohnish invested in CONSOL Energy and then switched to Alpha Metallurgical Resources as a coal bet.
  • Constellation Software is a rare compounder with great management.
  • Don't sell great companies when fairly priced; let winners run.
  • Mohnish owns Turkish businesses but emphasizes micro over macro.
  • He met Charlie Munger before his death and discussed coal investments.
Trade Ideas
Mohnish Pabrai Investor, Pabrai Investment Funds 11:42
Berkshire is a good long-term holding
Berkshire Hathaway is well-managed, super diversified, reasonably valued, and should be part of a long-term multi-index portfolio for 50-100 years.
BRK.B MED
Mohnish Pabrai Investor, Pabrai Investment Funds 11:42
S&P 500 is a core holding
The S&P 500 has a built-in mechanism to recycle bad companies, making it a core holding for a long-term diversified portfolio.
SPY MED
Mohnish Pabrai Investor, Pabrai Investment Funds 11:42
International index for diversification
A broad international index with exposure to Asia and China provides necessary diversification away from US concentration for a very long-term portfolio.
VXUS MED
Mohnish Pabrai Investor, Pabrai Investment Funds 29:14
Constellation is a rare compounder
Constellation Software has an exceptional manager in Mark Leonard, is a highly resilient business with over 1,000 operating units, and is a rare compounder that should be held long term without trimming.
CSU.TO HIGH
Mohnish Pabrai Investor, Pabrai Investment Funds 40:01
CONSOL energy had favorable risk-reward
CONSOL Energy had a similar favorable risk-reward profile to the Ipsco bet, with strong forward cash flows and low valuation; he initially bought it before switching to Alpha.
CEIX MED
Mohnish Pabrai Investor, Pabrai Investment Funds 40:28
Alpha is a great coal bet
Alpha Metallurgical Resources has favorable risk-reward due to strong cash flows, low market expectations, and being a coal company no one wants; Charlie Munger was also buying it.
AMR HIGH
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This We Study Billionaires video, published May 02, 2026, features Mohnish Pabrai discussing BRK.B, SPY, VXUS, CSU.TO, CEIX, AMR. 6 trade ideas extracted by AI with direction and confidence scoring.

Speakers: Mohnish Pabrai  · Tickers: BRK.B, SPY, VXUS, CSU.TO, CEIX, AMR