Microsoft Corporation, founded in 1975, is worth $3 trillion market value today.

Bill Gates: The Microsoft co-founder and one of the world’s wealthiest individuals Bill Gates has a remarkable stock portfolio through both personal investments and the Bill & Melinda Gates Foundation Trust.

Even though Microsoft is the foundation of his massive wealth, Bill Gates has strategically diversified his holdings over the years and now his investments extend over technology, finance, and waste management. This is a genius move by a genius who has displayed a merger of innovation, stability, and long-term growth potential.

He started a foundation in 1994 in his father’s name which became a part of the Bill & Melinda Gates Foundation in 2000. Bill and ex-wife Melinda have, over the past three decades, given away $47.7 billion of their wealth, next only to Warren Buffett and his family, according to Forbes.

The Bill & Melinda Gates Foundation is one of the beneficiaries of Buffett’s donations. He served there as a trustee from 2006 to 2021.

The foundation’s trust shows the influence of both Gates and Buffett in its highly concentrated portfolio. While it holds around $44 billion in equity investments, 65% of that is held in just three stocks. Let’s take a closer look at each one.

Microsoft (26% of Portfolio – $11.8 Billion)

Microsoft Corporation, founded in 1975 and worth $3 trillion market value today, is the primary source of the vast majority of Gates’ wealth. Gates now owns less than 1% of the business after his donation of shares to the Gates Foundation in 2022.

This added more than 38 million shares of the stock to the foundation’s trust. After selling off some shares to fund operations in 2024, the trust still held about 28.5 million shares as of the end of the year which are worth about $11.8 billion as of February 2025.

The Microsoft shares jumped more than 70% since the end of 2022 being boosted by growth in artificial intelligence (AI) spending and now, Microsoft is positioned to capitalize on growing AI spending in two ways. Azure cloud computing platform has seen rapid uptake of its AI services thanks, in part, to its relationship with OpenAI. Microsoft has invested about $13 billion in OpenAI and is the generative AI leader’s largest shareholder.

Microsoft also benefits from integrating new AI-powered features into its enterprise software with its various Copilots for Github, Microsoft 365, and its marketing platform.

Berkshire Hathaway (22% of Portfolio – $9.5 Billion)

The Gates Foundation each year gets a donation from Warren Buffett in the form of Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) Class B shares. As of December 2024, the Gates Foundation held 19.7 million shares of Berkshire Hathaway which are worth $9.5 billion as of February 2025.

Much of Berkshire’s value stems from its equity portfolio. Based on its fourth-quarter portfolio disclosure, the holding company has roughly $297 billion in equity investments. Additionally, the company has $325 billion in cash and Treasury bills on its balance sheet as of the end of Q3.

Waste Management (17% of Portfolio – $7.5 Billion)

Waste Management (NYSE: WM) is one of the oldest holdings in the Gates Foundation trust. It represents the type of business Gates found most appealing as an individual investor to diversify away from his huge stake in Microsoft. It’s a boring business with a massive competitive moat.

Waste Management is the largest waste collection and disposal company in the United States, and that position is cemented by its landfill ownership. Regulatory hurdles make it extremely difficult for any competitor to come in and match Waste Management’s position in the market, thus strengthening its advantages. The company’s scale also allows it to generate higher operating margins by keeping its routes dense and efficient.

Microsoft continues to be one of the most valuable tech companies in the world, currently valued at $3 trillion as it has placed itself as a leader in cloud computing and artificial intelligence, making it an attractive option for long-term investors.

Microsoft features:

You have dominance: Microsoft’s Azure cloud services power AI applications, and its OpenAI partnership gives it an edge over competitors like Google and Amazon.

Recurring Revenue Model: Subscription-based services like Microsoft 365, Copilot AI tools, and enterprise cloud solutions provide a stable revenue stream.

Share Buybacks & Dividends: Microsoft generates billions in free cash flow, which it uses to buy back shares and increase dividends—a sign of financial strength.

While investing, Bill Gates balances tech innovation and financial stability. While Microsoft remains a core holding, his foundation’s investments in Berkshire Hathaway and Waste Management provide diversification and long-term security.