With Berkshire Hathaway delivering an average annual return of around 19.8% over almost six decades, Buffett clearly knows what he's doing. Unsurprisingly, he hasn't diversified Berkshire's holdings as much as most investors would.

You may want to peruse Warren Buffett's portfolio for ideas. After all, Buffett and his investing colleagues Todd Combs and Ted Wechsler at Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) only seek out competitively advantaged,

When it comes to famed investors whose moves others watch like hawks, Warren Buffett stands in a league of his own. As one of the world’s richest people, the 94-year-old “Oracle of Omaha” is still the chief executive officer of Berkshire Hathaway (NYSE: BRK.

These five companies -- one of which is near and dear to the Oracle of Omaha's heart -- stand out for all the right reasons.

The Berkshire Hathaway chief sticks to a winning investing formula, but he does not sit still.

Investing $1,000 across four of the largest holdings in Buffett's portfolio would have netted investors a return of 32.88%.

Since Warren Buffett became the CEO of Berkshire Hathaway ( BRK.A 0.80%) ( BRK.B 0.95%) in 1965, its stock has delivered a compound annual return of 19.8%. That would have been enough to turn a $1,000 investment into $42.5 million, whereas the same investment in the S&P 500 would have grown to just $325,053 over the same period.

Given the financial environment in which cash is sometimes considered as useless, Warren Buffett's approach of keeping large cash reserves stands out and generates investor interest and speculation. Renowned for his sharp investing style,