Li Lu - Himalaya Capital Management Investment Strategy (Sep 30, 2025)


As of Sep 30, 2025, the Himalaya Capital Management portfolio managed by Li Lu demonstrates a sophisticated investment approach with 10 positions and an average holding period of 427 quarters. The strategy focuses on Communication Services, Consumer Cyclical, Energy, Financial Services, Technology sectors with a typical position size of 13.6% of the portfolio.


The portfolio's risk management approach includes a maximum position size of 13.55% and sector diversification of 5%, exemplified by the case study of ALPHABET INC (GOOGL). This strategic framework provides insights into Li Lu's investment philosophy, risk management practices, and long-term value creation approach.

Investment Strategy Metrics

Key metrics revealing investment style, risk management, and performance characteristics

MetricValueCategoryDescription
Holding Period1.2 yearsStyleAverage duration positions are maintained
Position Count10StyleNumber of active positions in portfolio
Position Size13.6%RiskTypical allocation per position
Win Rate51.2%PerformancePercentage of profitable positions
Average Return-0.4%PerformanceMean return across positions
Sharpe Ratio-0.02PerformanceReturn per unit of risk taken

Investment Case Study: ALPHABET INC (GOOGL)

6/30/2022 - 12/26/2025

Performance Metrics

Total Return: 135.25%

Holding Period: 1275 days

Max Position Size: $224,395.00

Position Weight: 7.45%

Key Events

6/30/2022: ENTRY(47,400.00 shares) @ $2.18
9/30/2022: INCREASE(900,600.00 shares) @ $0.10
12/31/2022: INCREASE(1,595,300.00 shares) @ $0.09

Investment Thesis

Entry Context: Initial position established based on fundamental analysis

Sector Conditions: Favorable market conditions in the sector

Risk Factors:
  • Market volatility
  • Sector-specific risks

Key Learnings

  • Position sizing is critical for portfolio management
  • Important to monitor sector exposure

Sector Allocations