Guru portfolios, which are updated every three months, comprise the top positions of some of the world’s most successful investors. So hitching a ride on some of their investment cases is certainly not a bad idea.  By following this approach you can generally be sure of a couple of things: First, these star investors always look for downside protection. They do this by picking companies with impeccable business models and very strong competitive positions. Just think of Dan Loeb with Sotheby’s and Nestle or Nelson Peltz with Procter and Gamble. Secondly, they will have done their homework on the investment case and in the case of activist investing they will work with the best lawyers in order to get done what they believe will create value for shareholders.