Ken Fisher's Top New Q2 Buys
His $38.5 billion equity portfolio contains 392 stocks, and with a 9% quarter-over-quarter turnover shows 47 new ones purchase in the second quarter. The largest of the new securities are: Barclays ETN FI Enhanced Global High Yield ETN (FIGY), Barclays ETN Enhanced Europe ETN (FEEU), Capital Source Inc. (NYSE:CSE), Gilead Sciences Inc. (NASDAQ:GILD) and Purisima Total Return Fund (PURIX).
Purisima Total Return Fund (PURIX)
Fisher purchased 633,894 shares of Purisima Total Return Fund, a 0.034% portfolio weighting and his smallest new buy.
The Purisima Total Return Fund seeks high returns and it is based on the following investing philosophy:
“The Adviser believes that, for extended periods, the market favors certain styles over others. This favoritism rotates, with all styles leading (and lagging) at various times. The Adviser also believes that this selection is more important in achieving investment returns than individual stock or manager selection. The Adviser's domestic strategy attempts to identify which style the investment cycle will favor and then seeks to purchase superior stocks within it.”
The fund’s year-to-date return at Sept. 30, 2012, was 4.98%.
Gilead Sciences Inc. (NASDAQ:GILD)
Fisher purchased 1,037,368 shares of Gilead Sciences Inc. (NASDAQ:GILD) for $52 per share on average. The stock has since gained 10%.
Gilead Sciences Inc. was incorporated in Delaware on June 22, 1987. Gilead Sciences Inc. has a market cap of $84.89 billion; its shares were traded at around $57.14 with a P/E ratio of 32.10 and P/S ratio of 9.20. Gilead Sciences Inc. had an annual average earnings growth of 16.3% over the past five years.
CapitalSource Inc. (NYSE:CSE)
Fisher purchased 6,783,570 shares of CapitalSource Inc. for $9 per share on average in the second quarter. The stock has increased 2% from that average purchase price.
CapitalSource Inc., a Delaware corporation, is a commercial lender that provides financial products to middle market businesses. CapitalSource Inc. has a market cap of $1.84 billion; its shares were traded at around $9.45 with a P/E ratio of 4.20 and P/S ratio of 4.80. The dividend yield of CapitalSource Inc. stocks is 0.40%.
Barclays ETN FI Enhanced Europe 50 ETN (FEEU)
Fisher purchased 267,571 shares of the Barclays ETN FI Enhanced Europe 50 ETN in the second quarter, giving it a 0.69% portfolio weighting.
The Europe-focused fund was launched in May 2013 by UK-based bank Barclays PLC. Its pillars are European blue-chip companies, and it was organized to take advantage of a potential recovery in region. ETN stands for “exchange traded note.”
Barclays ETN FI Enhanced Global High Yield ETN (FIGY)
For his largest new buy, Fisher purchased 11,772,806 million shares of the Barclays ETN FI Enhanced Global High Yield ETN, giving it a 2.7% portfolio weighting.
This ETN was created the same week as Fisher’s fourth-largest new investment, Barclays ETN FI Enhanced Europe 50 ETN. The fund includes global stocks with high yields. It is organized around the MSCI World High Dividend USD Gross Total Return Index. The fund matures on June 4, 2018.
See more of Ken Fisher’s portfolio here. Also check out the Undervalued Stocks, Top Growth Companies and High Yield stocks of Ken Fisher.