PAYC - Oakmark Select Fund: Q2 2024 Commentary
2024-07-17 08:55:00 ET
Summary
- We are value investors. In constructing portfolios for our clients, we seek out companies that we believe are trading in the market at significant discounts to their underlying value. These businesses must offer significant profit potential and be run by managers who think and act as owners.
- We believe in the importance of intensive, fundamental research. Our research process is based on a disciplined quantitative and qualitative screening process.
- The Fund returned -6.19% versus 4.28% for the S&P 500 Index for the quarter, and 11.56% since inception, versus 9.69% for the S&P 500 Index over the same period.
- While the outperformance of growth stocks weighed on our relative returns in the second quarter, it has also created opportunities to purchase shares in a diversified set of undervalued securities.
- The Fund returned -6.19% versus 4.28% for the S&P 500 Index for the quarter, and 11.56% since inception, versus 9.69% for the S&P 500 Index over the same period.
- At the sector level, the largest contributor was communication services, and the largest detractors were industrials and health care.
- While the outperformance of growth stocks weighed on our relative returns in the second quarter, it has also created opportunities to purchase shares in a diversified set of undervalued securities. Over the long term, we believe such value investments will generate strong returns for our clients. Read more in the 2Q 2024 U.S. equity market commentary.