The S 500 returned 27.5% during the three-year period ended Sept. 30, but Berkshire Hathaway beat the market with a return of 32.4% in its equity securities portfolio. CEO Warren Buffett deserves much of the credit for that outperformance, and his knack for picking winning stocks makes him an excellent source of inspiration.

With that in mind, Berkshire had $157 billion invested in Apple (NASDAQ: AAPL) and $22 billion invested in The Coca-Cola Company (NYSE: KO) as of Sept. 30. This means the company had 56% of its $318 billion portfolio invested in just two stocks.

Here's what investors should know about Apple and Coca-Cola.

Continue reading

Source Fool.com