The recent release of 13F filings has once again turned the spotlight on the investment giants whose moves shape market sentiment. For followers of Chinese investment wisdom, few names carry as much weight as Duan Yongping (段永平), the legendary investor whose disciplined value approach has generated monumental returns. His latest portfolio disclosure through the US-based entity ‘H&H’ offers a masterclass in strategic asset allocation, revealing not only a colossal $174.89 billion in holdings but also a deliberate, cautious pivot towards the artificial intelligence revolution. This analysis of Duan Yongping’s investment moves provides a critical lens through which institutional investors can gauge the maturation of AI themes and the evolving strategies of China’s most successful capital allocators.
Executive Summary: Key Takeaways from the Filing
Before diving into the details, here are the essential insights from Duan Yongping’s Q4 2025 13F submission:
– Portfolio Value and Composition: The ‘H&H’ account held 14 US-listed stocks worth $174.89 billion (approximately ¥1.208 trillion) as of December 31, 2025.
– New AI Entries: The portfolio initiated positions in three AI-centric companies: CoreWeave, Credo Technology, and Tempus Ai, signaling a strategic exploration of the sector.
– Major Adjustments: Significant increases in Berkshire Hathaway, Nvidia, Pinduoduo, Google (Class C), and Microsoft were paired with reductions in Apple, Occidental Petroleum, Alibaba, Disney, and ASML.
– Concentration Risk: The portfolio remains highly concentrated, with Apple comprising 50.3% ($87.97B) and Berkshire Hathaway B representing 20.63% ($36.07B) of total assets.
– Philosophical Shift: Duan Yongping’s public commentary confirms a focused study of AI, marking an evolution from his classic consumer and tech bets towards next-generation computing themes.
Decoding the Q4 2025 Portfolio: Holdings and Strategic Shifts
The 13F filing for the fourth quarter of 2025 provides a transparent window into the asset allocation decisions of one of the world’s most respected investors. Duan Yongping’s investment moves are closely scrutinized for their long-term conviction and timing, often serving as a contrarian indicator or validation of emerging trends.
A Detailed Breakdown of the $174.89 Billion Holdings
The ‘H&H’ investment vehicle reported positions in 14 companies. The full list, in order of portfolio weight, is: Apple, Berkshire Hathaway B, Nvidia, Pinduoduo, Google (Class C), Occidental Petroleum, Microsoft, Alibaba, Taiwan Semiconductor Manufacturing Company (TSMC), Disney, CoreWeave, Credo Technology, ASML, and Tempus Ai. The total valuation underscores the immense scale of Duan Yongping’s managed capital and his influence on cross-border investment flows. The concentration in Apple and Berkshire reflects a deep-rooted belief in durable competitive advantages and shareholder-friendly management, principles central to Duan Yongping’s investment strategy for decades.
Analysis of Quarterly Changes: Additions Versus Reductions
The adjustments made between Q3 and Q4 2025 reveal a nuanced calibration of risk and opportunity. The decision to add to Berkshire Hathaway, even as it already was the second-largest holding, suggests a reaffirmation of faith in Warren Buffett’s conglomerate as a defensive anchor in uncertain markets. The increased stakes in Nvidia, Google, and Microsoft directly correlate with the AI investment theme, indicating a belief in the staying power of established tech giants within the new paradigm. Conversely, trimming the massive Apple position, while still leaving it as a dominant holding, could signal a tactical move to recycle capital or manage extreme concentration. Reductions in cyclical names like Occidental Petroleum and discretionary plays like Disney may reflect macroeconomic caution. The cut to Alibaba continues a trend of cautious exposure to Chinese equities amid regulatory overhangs, while the ASML reduction might indicate profit-taking after a strong run.
The New Frontier: A Close Look at the Three AI Stock Entries
The most headline-grabbing aspect of the filing is the introduction of three new positions, all orbiting the artificial intelligence ecosystem. While the initial allocations are small—0.12% for CoreWeave, 0.12% for Credo Technology, and 0.04% for Tempus Ai—they are highly symbolic. For an investor known for his ‘wait for the perfect pitch’ patience, these entries represent a careful, toe-in-the-water approach to a volatile but transformative sector. Analyzing these companies is key to understanding the potential future direction of Duan Yongping’s investment moves.
CoreWeave: Betting on the AI Compute Infrastructure Backbone
CoreWeave operates in the high-stakes arena of cloud computing for AI. Instead of developing models, it provides the essential raw material: scalable, high-performance GPU (Graphics Processing Unit) clusters for rent. In an era where every major corporation is racing to train large language models, CoreWeave’s business model leverages the acute shortage of advanced chips. Its value proposition is straightforward—it sells computational power. However, this is a capital-intensive model with significant risks:
– Heavy dependency on Nvidia for its core H100 and next-generation chips, creating supplier concentration risk.
– Immense upfront capital expenditure for hardware that may face rapid obsolescence.
– Intense competition from hyperscalers like Amazon Web Services, Microsoft Azure, and Google Cloud.
Duan Yongping’s tiny position suggests he is paying for an option on the future of AI infrastructure, recognizing that if the demand for compute continues to exponentially outstrip supply, specialized providers could thrive.
Credo Technology: Investing in the Data Center’s High-Speed Nervous System
If AI compute is the engine, then data movement is the high-speed highway connecting everything. Credo Technology designs high-speed connectivity solutions—chips and optical modules—that enable massive data flow between GPUs within AI servers and data centers. As models grow larger, the need for low-latency, high-bandwidth interconnects becomes critical to prevent bottlenecks. Credo’s success is tied to the upgrade cycle of data centers worldwide. Key considerations for investors include:
– Proprietary technology that offers performance advantages, creating a potential moat.
– Deep relationships with major cloud and networking equipment customers.
– Sensitivity to industry capital expenditure cycles; a slowdown in data center investment would immediately impact revenue.
This pick indicates Duan Yongping’s investment moves are attuned to the less glamorous but equally vital enablers of AI progress, the ‘picks and shovels’ providers of the digital gold rush.
Tempus Ai: A Speculative Wager on AI-Driven Healthcare Transformation
Tempus Ai applies artificial intelligence and data analytics to precision medicine, primarily in oncology. By aggregating and analyzing clinical and molecular data, it aims to help physicians personalize cancer treatments. This represents a venture into a sector with a very different risk-reward profile:
– Long commercialization timelines due to stringent regulatory pathways (e.g., FDA approvals).
– Complex integration into existing healthcare systems and workflows.
– Immense potential societal benefit but unproven, scalable profitability in the near term.
The minuscule 0.04% allocation is classic venture-style positioning. It allows Duan Yongping to gain exposure to AI’s application in a massive, non-cyclical industry like healthcare without committing meaningful capital, effectively buying a lottery ticket on a future breakthrough.
The Evolution of a Investment Philosophy: From Consumer Staples to AI
To fully appreciate the significance of these new bets, one must view them through the lens of Duan Yongping’s storied investment history. His track record, from early victories with NetEase and Moutai to the monumental, long-term hold of Apple, is built on identifying simple, understandable businesses with fantastic economics and holding them for decades.
A Track Record Built on Conviction and Patience
Duan Yongping’s investment strategy has consistently emphasized a few core tenets: a focus on business model simplicity, exceptional management, and a margin of safety in valuation. His success with NetEase in the early 2000s demonstrated an ability to see value where others saw chaos. His advocacy for Moutai and Apple revolved around their powerful brands, pricing power, and immense cash flows. These were not speculative trades; they were lifelong partnerships with companies. The portfolio’s continued heavy weighting in Apple and Berkshire, despite the new AI entries, shows that this philosophical core remains intact. The new moves are expansions, not replacements, of his foundational strategy.
The Strategic Pivot Towards Artificial Intelligence
In recent years, Duan Yongping has increasingly vocalized his focus on understanding artificial intelligence. He has stated on social platforms that “AI is indeed powerful, it dramatically improves efficiency… AI is changing the world, that’s a fact!” More tellingly, he admitted, “In the new year, I need to seriously learn how to use AI, hoping to one day understand it to the level of ‘daring to make a heavy bet’.” This educational journey is now reflected in his portfolio. He views AI not as magic, but as a natural evolution: “AI isn’t really anything special, AI is just what we used to call computer applications. AI is the product of computational power increasing dramatically—quantity leading to a qualitative change!” This pragmatic framing suggests his foray into AI stocks will be governed by the same principles of business quality and value that guided his past successes.
Market Implications and Expert Perspectives on AI Investments
Duan Yongping’s investment moves do not occur in a vacuum. They offer a high-profile case study for evaluating the current state of AI investing, separating hype from sustainable opportunity. His cautious, small-position approach contrasts sharply with the frenzy that has characterized parts of the market.
Duan Yongping’s Own Words on AI Bubbles and Long-Term Value
The investor has been remarkably candid about his views, providing direct quotes that illuminate his thinking. On the potential for an AI bubble, he noted, “The historical wheel of AI rolls forward, it will crush all AI bubbles.” He elaborated, “Right now, anything that has even a little to do with AI is shooting up recklessly, and likely 90% of these companies will eventually fail. But, those that don’t fail could be the next Google, Amazon…” This dichotomous view—acknowledging both rampant speculation and transformative potential—informs his stock selection. He has specifically commented on key players:
1. On large language models: “I’ve said before, in a few years, there might not be many who survive in making large models, but Google will likely be one of them.”
2. On Nvidia: “NVDA’s supply shortages should continue for a while, it seems there aren’t any real substitutes within the next few years. But under assault from all the giants, whether someone can make a breakthrough is hard to say.”
These insights reveal a preference for entrenched incumbents with financial resilience (Google) and critical suppliers with temporary monopolies (Nvidia), over pure-play, unproven startups.
What This Means for Institutional and Retail Investors
For professional money managers and sophisticated individuals, Duan Yongping’s portfolio activity offers several actionable lessons:
– Thematic Investing with Discipline: It is possible to gain exposure to a high-growth theme like AI without abandoning value principles. Small, exploratory positions allow for learning without catastrophic risk.
– Importance of the Ecosystem: Look beyond the flashy model-makers to the underlying infrastructure providers (compute, connectivity) who may have more predictable demand and competitive moats.
– Concentration and Conviction: Even when exploring new areas, maintaining core positions in highest-conviction ideas (Apple, Berkshire) provides portfolio stability. Diversification is not the sole goal; focused capital allocation is.
– Continuous Education: Duan Yongping’s admission that he is still learning AI underscores that even master investors must adapt. For others, this means dedicating time to understand the technology’s fundamentals before making significant bets. Resources like the SEC’s EDGAR database for 13F filings [https://www.sec.gov/edgar] and industry reports from firms like Gartner or IDC can provide essential data.
Synthesizing the Insights and Forward-Looking Guidance
The dissection of Duan Yongping’s Q4 2025 portfolio reveals a nuanced narrative: the unwavering commitment to timeless quality compounders is now accompanied by a deliberate, measured exploration of the defining technological shift of our age. His investment moves are not a radical overhaul but a strategic evolution. The tiny allocations to CoreWeave, Credo, and Tempus Ai are reconnaissance missions, not declarations of war. They signal to the market that AI is too significant to ignore but too uncertain to embrace wholeheartedly without further due diligence.
Key Takeaways for Market Participants
In summary, the filing reinforces several critical points for anyone engaged in Chinese or global equities:
1. AI is Legitimate, But Selective: The AI investment thesis is valid, but stock selection will be paramount. Broad-based ETFs may capture the hype, but individual stock-picking focused on durable advantages and reasonable valuation, as demonstrated by Duan Yongping’s investment strategy, will likely separate winners from losers.
2. Portfolio Management is Dynamic: Even the most successful investors make adjustments. Regularly reviewing holdings, taking profits in overextended positions, and recycling capital into new opportunities is essential for long-term growth.
3. The Chinese Investor Perspective is Global: Duan Yongping’s portfolio is exclusively US-listed, highlighting how top Chinese capital allocators view the world. For international investors, understanding the cross-border flow of Chinese investment intelligence can provide unique alpha-generating insights.
A Call to Action for Sophisticated Investors
The revelation of Duan Yongping’s latest investment moves serves as a compelling prompt for action. Do not blindly copy the holdings. Instead, use this analysis as a starting point for your own rigorous research. Dive deep into the business models of the AI enablers he has identified. Re-evaluate your core holdings for the same qualities of economic moat and management integrity that he prioritizes. Most importantly, embrace the mindset of a perpetual student. As Duan Yongping himself is doing, commit to understanding the technological and economic forces shaping the next decade. The disciplined application of fundamental analysis to the exciting yet frothy field of AI may well define investment success in the coming years. Begin your deep dive today by examining the latest 13F filings and forming your own independent theses on the future of compute, connectivity, and intelligent automation.