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Billionaire Bill Gates Has 66% of His Foundation's $42 Billion Portfolio Invested in These 5 Dividend Stocks

July 5, 2025
05:52 AM
4 min read
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Bill Gates could have been the world's first trillionaire. However, his net worth today is "only" around $117 billion. He's not hurting, to say the least. One reason why Gates isn't even...

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July 5, 2025

05:52 AM

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investmentmoneywealthstockstechnologyindustrialsmarket cyclesseasonal analysis

Bill Gates could have been the world's first trillionaire

However, his net worth today is "only" around $117 billion

He's not hurting, to say the least

One reason why Gates isn't even wealthier is that he didn't hold on to his stake in Microsoft (MSFT 1. 58%), the software giant he co-founded

Another factor is that Gates has given away a substantial amount of money -- a whopping $59 billion -- to the charitable organization he and his ex-wife founded, the Bill & Melinda Gates Foundation

This foundation has also given away a lot of money to help people around the world

However, it still boasts a sizable investment portfolio of roughly $42 billion at the end of the first quarter of 2025

And Gates has 66% of his foundation's portfolio invested in the ing five dividend stocks

Image source: Getty Images

Microsoft Unsurprisingly, Microsoft is the largest holding for the Bill & Melinda Gates Foundation Trust

The company makes up nearly 25. 6% of the foundation's total portfolio, with a stake worth almost $10. 7 billion at the end of Q1

Although many stocks don't pay dividends, Microsoft initiated its dividend gram in 2003

The company has increased its dividend for 20 consecutive years

However, Microsoft's dividend still isn't all that attractive, with a forward yield of only 0

Gates donated billions of dollars worth of Microsoft s to his foundation at its inception in 2000

The stock floundered for years, but began to take off in 2015

Its momentum continues today, thanks to a major tailwind from artificial intelligence (AI) adoption

Waste Management Waste Management (WM 1. 57%) ranks as the Gates Foundation Trust's third-largest holding, trailing Microsoft and Berkshire Hathaway

At the end of Q1, the foundation's position in Waste Management made up nearly 17. 9% of its portfolio

While Berkshire has never paid a dividend, Waste Management has paid quarterly dividends since 1998

The big waste management services vider has increased its dividend for 22 consecutive years

Its forward dividend yield currently stands at 1

Canadian National Railway The Bill & Melinda Gates Foundation Trust owned over 54. 8 million s of Canadian National Railway (CNI -0. 13%) at the end of Q1, worth around $5. 34 billion

This position comprised nearly 12. 8% of the foundation's total portfolio

Canadian National Railway, also known as CN, operates a rail network spanning nearly 20,000 miles

The company has increased its dividend for 29 consecutive years

CN's forward dividend yield is 2

Caterpillar Giant machinery company Caterpillar (CAT -0. 01%) is the Gates Foundation Trust's fifth-largest position

At the end of Q1, the foundation owned a stake in Caterpillar worth roughly $2. 43 billion, making up 5. 8% of its portfolio

Caterpillar has paid a dividend every quarter since 1933

It also boasts a 31-year streak of dividend increases, with its dividend hike announced last month

The industrial giant's forward dividend yield is 1

The Gates Foundation Trust had $1. 67 billion invested in Deere & Co. 23%) at the end of Q1

This stake was enough to make up just a hair below 4% of the foundation's total portfolio

While Deere has paid quarterly dividends for decades, the agriculture machinery manufacturer hasn't always increased its dividend each year

However, Deere's recent track record is impressive, with the company more than doubling its dividend payout over the last five years

Its forward dividend yield is 1

Should you own these dividend stocks, too

You shouldn't buy any stock solely because a famous person owns it (or because the famous person's charitable organization owns it)

However, I think two of these dividend stocks in the Bill & Melinda Gates Foundation Trust's portfolio stand out as pretty good picks

Income investors might Canadian National Railways

Its dividend yield is more than twice the yield of the S&P 500 (^GSPC 0

CN's is also resilient

I doubt that income investors will get excited Microsoft, but growth investors should

As mentioned, AI is a key growth driver for the company

In particular, Microsoft Azure, the world's second-largest cloud platform, should benefit tremendously from increased AI adoption

Keith Speights has positions in Berkshire Hathaway and Microsoft

The Motley Fool has positions in and recommends Berkshire Hathaway, Deere & Company, and Microsoft

The Motley Fool recommends Canadian National Railway and Waste Management and recommends the ing options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft

The Motley Fool has a disclosure policy.