Chris Hohn - TCI Fund Management Portfolio Q2'2025: Top Holdings & Recent Changes
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Chris Hohn, founder of TCI Fund Management, continues to exemplify the power of high-conviction, concentrated investing. His Q2’2025 portfolio stands as a case study in disciplined capital allocation, with $50.7 billion deployed across just 10 positions—each reflecting deep research and a willingness to make bold, outsized bets on select global leaders.
The Big Picture: Relentless Concentration, Relentless Returns
Portfolio Highlights (Q2’2025): - Market Value: $50.7B - Top 10 Holdings: 100.0% - Portfolio Size: 10 +0 - Average Holding Period: 22 quarters - Turnover: 0.0%
The TCI Fund portfolio remains the epitome of concentration, with every dollar allocated to just 10 companies. This unwavering focus is a hallmark of Chris Hohn’s approach: only the highest conviction ideas make the cut, and positions are sized aggressively when the risk/reward is compelling. The average holding period of 22 quarters (over five years) underscores a long-term orientation, while the 0.0% turnover this quarter signals remarkable portfolio stability and patience.
Such concentration is not for the faint of heart, but it allows TCI to maximize returns from its best ideas. The portfolio’s structure also reflects a willingness to ride through volatility, trusting in the underlying quality and growth prospects of each holding. For investors tracking TCI Fund’s portfolio, the message is clear: conviction and discipline drive outperformance.
Top Holdings Analysis: Global Giants and Strategic Adjustments
The portfolio is anchored by General Electric Company, commanding a massive 24.1% allocation despite a modest 0.13% reduction this quarter. Microsoft Corporation 17.2% saw a 1.53% addition, reinforcing TCI’s confidence in the tech giant’s durable growth and cloud leadership. Visa Inc. received the largest increase among top positions, with a 14.61% addition pushing its weight to 13.4%—a clear signal of conviction in global payments.
Financial data powerhouses remain core: Moody’s Corp (13.1%, Add 0.64%) and S&P Global Inc (11.5%, Add 7.05%) both saw incremental increases, reflecting a continued bet on the indispensability of credit ratings and analytics in global markets.
Railways, a long-standing TCI theme, saw nuanced adjustments. Canadian Pacific Railway Limited 8.3% was trimmed by 3.80%, while Canadian National Railway Company 4.7% faced a more substantial 14.54% reduction—potentially a response to valuation or operational developments.
In tech, Alphabet Inc. 4.5% was reduced by 6.42%, and its GOOGL share class saw a sharper 22.77% cut, bringing its portfolio weight to 1.1%. This signals a measured approach to mega-cap tech exposure, perhaps reflecting regulatory or competitive concerns.
Finally, infrastructure exposure was modestly increased, with Ferrovial SE 2.0% seeing a 0.71% addition. This diversified global infrastructure play rounds out the portfolio’s sectoral reach.
What the Portfolio Reveals About TCI’s Strategy
- Extreme conviction: Every position is large, with no “filler” holdings—TCI only invests where it has deep, differentiated insight.
- Global, sector-leading franchises: The portfolio is dominated by companies with entrenched competitive advantages in industrials, technology, financials, and infrastructure.
- Incremental adjustments, not wholesale shifts: Changes this quarter were measured, with no new positions or exits—reflecting a steady hand and long-term focus.
- Risk management through quality: Rather than diversifying broadly, TCI manages risk by owning only what it deems the highest quality, most resilient businesses.
- Long holding periods: The average holding period of 22 quarters demonstrates a willingness to let compounding work, minimizing frictional costs and maximizing tax efficiency.
Portfolio Concentration Analysis
| Position | Value | % of Portfolio | Recent Change |
|---|---|---|---|
| General Electric Company (GE) | $12.2B | 24.1% | Reduce 0.13% |
| Microsoft Corporation (MSFT) | $8,737.1M | 17.2% | Add 1.53% |
| Visa Inc. (V) | $6,769.9M | 13.4% | Add 14.61% |
| MOODYS CORP | $6,644.6M | 13.1% | Add 0.64% |
| S&P GLOBAL INC | $5,848.5M | 11.5% | Add 7.05% |
| Canadian Pacific Railway Limited (CP) | $4,188.9M | 8.3% | Reduce 3.80% |
| Canadian National Railway Company (CNI) | $2,394.4M | 4.7% | Reduce 14.54% |
| Alphabet Inc. (GOOG) | $2,300.1M | 4.5% | Reduce 6.42% |
| Ferrovial SE (FER) | $1,038.7M | 2.0% | Add 0.71% |
TCI’s portfolio is a masterclass in concentration: the top three positions alone account for over 54% of assets, and all 10 holdings comprise the entire portfolio. This structure amplifies both upside and risk, but it is underpinned by rigorous research and a willingness to hold through cycles. The incremental changes this quarter—mostly adds to existing winners and trims to select rail and tech names—demonstrate active risk management without sacrificing core conviction.
Investment Lessons from Chris Hohn’s TCI Fund Approach
- Concentration pays—when you know your companies inside out.
- Long holding periods allow compounding to work in your favor.
- Incremental portfolio adjustments can be more effective than frequent trading.
- Quality and market leadership trump diversification for its own sake.
- Size positions according to conviction, not index weights or benchmarks.
- Risk is managed by business quality, not by the number of holdings.
Looking Ahead: What Comes Next?
With zero turnover and no new positions, TCI is signaling strong satisfaction with its current lineup. The fund’s cash position is likely minimal, suggesting little appetite for new ideas unless valuations or fundamentals shift dramatically. Investors should watch for further moves in payments, infrastructure, and rail—sectors where TCI has shown willingness to both add and trim as conditions evolve. In a market marked by uncertainty, TCI’s focus on global champions and measured portfolio tweaks positions it well for continued compounding.
FAQ about Chris Hohn’s TCI Fund Portfolio
Q: Why did TCI make only incremental changes this quarter?
TCI’s philosophy is to hold only its highest conviction ideas for the long term. Incremental adds and trims reflect ongoing risk management and valuation discipline, not a need for wholesale change.
Q: How concentrated is the TCI Fund portfolio?
All assets are allocated to just 10 positions, with the top three accounting for over half the portfolio. This is one of the most concentrated portfolios among major hedge funds.
Q: How does TCI manage risk with such a focused portfolio?
Risk is managed by owning only what the team believes are the highest quality, most resilient businesses globally. Position sizing and ongoing monitoring are key.
Q: Why the reductions in Alphabet and Canadian railways?
These trims likely reflect a combination of valuation discipline, sector rotation, and evolving views on risk/reward. TCI remains invested but is actively managing exposure.
Q: How can I track TCI Fund’s portfolio changes?
You can follow all of TCI’s 13F filings and real-time portfolio updates on ValueSense. Note that 13F filings are reported with a 45-day lag, so always consider the timing when interpreting changes.
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