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William P. Jones is founder of William Jones & Associates, which manages $3.6 billion in client assets. Jones graduated from Harvard University in 1973. He founded WJ&A fifteen years later. Prior to forming WJ&A, Jones was a Director and Senior Portfolio Manager at Mackay-Shields Associates. Before that, Jones worked as a Vice President and Trust Officer at Chase Manhattan Bank from 1980 until 1982.

According to the latest 13F filings, WJ&A had 260 securities worth $1.45 billion in its 13F portfolio as of March 31, 2011. We noticed that Jones has been holding 100 of these securities for at least five years. In the first quarter of 2011, he sold 20 securities and bought 31 new securities. He sold out $5 million worth of Brazil Mid-Cap ETF (NYSEARCA:BRAZ) and $3 million in Currency Shares Australian Dollar Trust (NYSEARCA:FXA) during that quarter. His biggest purchase in the first quarter was Netapp Inc. Com. (NASDAQ:NTAP) with $12.5 million.

The below table is shows the returns of WJ&A’s top 20 long-term stocks in the last five years.

Stock

Value in Millions (USD)
As of Mar 31,2011

Return
Since July 10,2006

DOVER CORPORATION (Special) (NYSE:DOV)

130.0

59.42%

ENTERPRISE PRODS PARTNERS L P (NYSE:EPD)

59.9

141.07%

APPLE INC COM (NASDAQ:AAPL)

48.9

554.02%

GOOGLE INC (NASDAQ:GOOG)

43.5

27.21%

NATURAL RESOURCE PARTNERS (NYSE:NRP)

33.2

84.99%

VERIZON COMMUNICATIONS (NYSE:VZ)

33.0

54.05%

QUALCOMM INC COM (NASDAQ:QCOM)

27.1

69.41%

SCHLUMBERGER LTD COM (NYSE:SLB)

26.9

50.16%

CROWN CASTLE INTL CORP (NYSE:CCI)

24.5

22.79%

INTERNATIONAL BUSINESS MACHS (NYSE:IBM)

20.4

150.80%

AMERICAN TOWER CORP CL A (NYSE:AMT)

19.7

73.81%

JPMORGAN CHASE & CO COM (NYSE:JPM)

18.8

6.48%

MICROSOFT CORP COM (NASDAQ:MSFT)

18.6

25.97%

EXXON MOBIL CORP COM (NYSE:XOM)

17.6

45.28%

DANAHER CORP DEL COM (NYSE:DHR)

17.1

75.65%

DCP MIDSTREAM PARTNERS (NYSE:DPM)

16.9

118.68%

PEPSICO INC COM (NYSE:PEP)

16.8

30.98%

COLGATE PALMOLIVE CO COM (NYSE:CL)

16.8

61.38%

LEUCADIA NATL CORP COM (NYSE:LUK)

15.8

25.12%

JOHNSON & JOHNSON COM (NYSE:JNJ)

14.8

28.85%

Average Performance

620.2

85.31%

SPY

N/A

17.04%

WJ&A’s largest investment over the last five years is Dover Corporation. Dover Corporation returned almost 59.42% since July 2006, beating the market by a large margin. DOV has a market cap of $12.9 billion and P/E ratio of 12.91. Dover is estimating 12% to 14% revenue growth in 2011. Dover reported total revenue of $2 billion in the first quarter of 2011, an increase of 24% from the year-ago period. Vanguard Group, State Street Corp, Ken Fisher's Fisher Asset Management, Wellington Management and Clint Carlson are other high profile DOV investors. (See Clint Carlson’s largest stock holdings here).

Enterprise Products Partners, the second biggest long-term investment of WJ&A, provides midstream energy services in North America. EPD has gained 141% since July 2006, beating the market by a large margin. EPD recently traded at $43.32 and has a 5.5% dividend yield. Jones has $59.9 million invested in EPD at the end of March. The stock has a market cap of $36.6 billion and P/E ratio of 28.4.

Apple, one of the best performing investments of WJ&A, has gained more than 550% since July 2006, outperforming the SPY by a large margin. Jones increased his AAPL shares by 6.7% during the first quarter of 2011. Jones had nearly $49 million invested at the end of March. Apple is the most popular stock among hedge funds. Hedge fund stars like David Einhorn, John Griffin, Stephen Mandel, Chase Coleman, Clint Carlson and John Burbank all own AAPL in their portfolio. Apple is also one of the Fortune’s top ten picks for 2011. (See Fortune’s top ten picks for 2010 here).

Had WJ&A added equal dollar amounts of each stock into its portfolio, its return would have been 85.31%. Considering SPY’s 17.04% return, WJ&A's long term picks are extremely successful. This underlines William Jones’ talent in picking long term winners.

Source: William Jones' Long-Term Stock Picks