2024-01-27 11:00:00 ET
Summary
- Giverny Capital Asset Management, LLC is a partnership between Giverny Capital of Montreal and David Poppe, the former president and chief executive officer of Ruane, Cunniff & Goldfarb, LLC.
- One reason why I am confident in our future is that our return outpaced the Index for 2023, and approached it for the three-year period, despite our light exposure to the tech giants.
- I would also note that even after a big return in 2023, the market outside of the Magnificent Seven is not especially expensive.
- My investment decision is that we’ll be better off over time looking for younger companies that have years of earnings growth ahead of them, and preferably with founders or owner-operators at the helm.
To Our Clients and Friends:
For the fourth quarter and year ended December 31, 2023, the Giverny Capital Asset Management model portfolio, which is a Poppe family account 1 , performed as follows 2 :
GCAM Performance | Quarter ending | Year-to- date ending | One-year ending | Three years ending | *Annualized Since Inception |
12/31/2023 | 12/31/2023 | 12/31/2023 | 12/31/2023 | 12/31/2023 | |
Portfolio Net Return | 16.26% | 29.07% | 29.07% | 8.94% | 18.68% |
11.69% | 26.29% | 26.29% | 10.00% | 19.66% | |
Excess Return -Net | 4.57% | 2.78% | 2.78% | -1.06% | -0.98% |
* Inception Date 04/01/2020 |
The stock market is peculiar in its ability to deliver a satisfactory result over time in a manner that feels unsatisfying. It's perhaps like a restaurant with amazing food and awful service. Or a slot machine in reverse: you mostly win and over time your wealth increases. But every so often you suffer a debilitating loss that causes real financial pain. On top of this, the losses generate headlines and the gains are often received skeptically....
Read the full article on Seeking Alpha
For further details see:
Giverny Capital Asset Management Q4 2023 Letter