Murray Stahl of Horizon Asset Management, Inc published his 2Q2010 Commentary. His firm’s representative Horizon Core Value Fund typically invests in 25-50 stocks. The fund’s stated time horizon is five years. The fund turns over ever slowly each year at a pace of about 20%. The fund strives to invest “fundamentally superior businesses trading below our estimate of intrinsic value”. (Read the fund’s factsheet here.
Over the years and on average, the fund had a decent track record: since the fund’s inception of 1996, the fund has returned an average of 10.6% vs. S&P 500’s 5.9%. However, when looking closely, especially looking at the fund’s performance in 2008, one has to conclude that investment management is a business full of peril: in the dreadful year during which the general index fell 37%, Core Value Fund fell 56.5%. Since then the fund has been tracking the index closely, beating S&P 500 by about 2% in 2009 and just breakeven with the index this year.
But that is definitely not because Murray Stahl has given up and bought into the index. The management appears to be looking for value in far and unexpected places -- The fund’s 2Q2010 focuses on the Property Companies in China and HongKong:
Horizon Commentary China Property June2010
Several of his top holdings are HongKong property companies that he discussed in the letter. Besides, here are his top positions in US domestically traded companies:
No. 1: Brookfield Asset Management Inc. Ltd. (BAM, Financial), Weightings: 5.24% - 7,927,426 Shares
Brookfield Asset Management Inc. is an asset manager. Brookfield Asset Management Inc. Ltd. has a market cap of $15.29 billion; its shares were traded at around $26.6 with a P/E ratio of 38 and P/S ratio of 1.3. The dividend yield of Brookfield Asset Management Inc. Ltd. stocks is 2%. Brookfield Asset Management Inc. Ltd. had an annual average earning growth of 30.7% over the past 10 years.
No. 2: Berkshire Hathaway Inc. (BRK.B, Financial), Weightings: 4.87% - 2,091,886 Shares
Berkshire Hathaway Inc. is a holding company owning subsidiaries engaged in a number of diverse business activities. Berkshire Hathaway Inc. has a market cap of $200.36 billion; its shares were traded at around $80.79 with a P/E ratio of 23.7 and P/S ratio of 2.1. Berkshire Hathaway Inc. had an annual average earning growth of 13.2% over the past 10 years.
No. 3: PHILIP MORRIS INTERNATIONAL INC (PM, Financial), Weightings: 3.51% - 2,619,498 Shares
Philip Morris International is the international tobacco company, with products sold in over 160 countries. Philip Morris International Inc has a market cap of $98.32 billion; its shares were traded at around $53.64 with a P/E ratio of 14.7 and P/S ratio of 1.6. The dividend yield of Philip Morris International Inc stocks is 4.3%.
No. 4: Imperial Oil Ltd (IMO, Financial), Weightings: 3.48% - 3,272,425 Shares
Imperial Oil is Canada's largest integrated petroleum company. Imperial Oil Ltd has a market cap of $31.64 billion; its shares were traded at around $37.33 with a P/E ratio of 16.3 and P/S ratio of 1.5. The dividend yield of Imperial Oil Ltd stocks is 1.2%. Imperial Oil Ltd had an annual average earning growth of 35.4% over the past 10 years. GuruFocus rated Imperial Oil Ltd the business predictability rank of 5-star.
No. 5: Leucadia National Corp. (LUK, Financial), Weightings: 2.96% - 5,195,529 Shares
LEUCADIA NATL is a diversified financial services holding companyprincipally engaged in personal and commercial lines of property and casualty insurance, life insurance, banking and lending and manufacturing. Leucadia National Corp. has a market cap of $5.52 billion; its shares were traded at around $22.69 with a P/E ratio of 28.7 and P/S ratio of 4.9.
To see Murray Stahl’s complete portfolio, click: http://www.gurufocus.com/ListGuru.php?GuruName=Murray+Stahl
GuruFocus provides real time information and insights of Investment Gurus such as Warren Buffett and Murray Stahl for Premium Members. If you are not a premium member, click here to sign up or upgrade. 7-Day Free Trial is available.
Over the years and on average, the fund had a decent track record: since the fund’s inception of 1996, the fund has returned an average of 10.6% vs. S&P 500’s 5.9%. However, when looking closely, especially looking at the fund’s performance in 2008, one has to conclude that investment management is a business full of peril: in the dreadful year during which the general index fell 37%, Core Value Fund fell 56.5%. Since then the fund has been tracking the index closely, beating S&P 500 by about 2% in 2009 and just breakeven with the index this year.
But that is definitely not because Murray Stahl has given up and bought into the index. The management appears to be looking for value in far and unexpected places -- The fund’s 2Q2010 focuses on the Property Companies in China and HongKong:
Horizon Commentary China Property June2010
Several of his top holdings are HongKong property companies that he discussed in the letter. Besides, here are his top positions in US domestically traded companies:
No. 1: Brookfield Asset Management Inc. Ltd. (BAM, Financial), Weightings: 5.24% - 7,927,426 Shares
Brookfield Asset Management Inc. is an asset manager. Brookfield Asset Management Inc. Ltd. has a market cap of $15.29 billion; its shares were traded at around $26.6 with a P/E ratio of 38 and P/S ratio of 1.3. The dividend yield of Brookfield Asset Management Inc. Ltd. stocks is 2%. Brookfield Asset Management Inc. Ltd. had an annual average earning growth of 30.7% over the past 10 years.
No. 2: Berkshire Hathaway Inc. (BRK.B, Financial), Weightings: 4.87% - 2,091,886 Shares
Berkshire Hathaway Inc. is a holding company owning subsidiaries engaged in a number of diverse business activities. Berkshire Hathaway Inc. has a market cap of $200.36 billion; its shares were traded at around $80.79 with a P/E ratio of 23.7 and P/S ratio of 2.1. Berkshire Hathaway Inc. had an annual average earning growth of 13.2% over the past 10 years.
No. 3: PHILIP MORRIS INTERNATIONAL INC (PM, Financial), Weightings: 3.51% - 2,619,498 Shares
Philip Morris International is the international tobacco company, with products sold in over 160 countries. Philip Morris International Inc has a market cap of $98.32 billion; its shares were traded at around $53.64 with a P/E ratio of 14.7 and P/S ratio of 1.6. The dividend yield of Philip Morris International Inc stocks is 4.3%.
No. 4: Imperial Oil Ltd (IMO, Financial), Weightings: 3.48% - 3,272,425 Shares
Imperial Oil is Canada's largest integrated petroleum company. Imperial Oil Ltd has a market cap of $31.64 billion; its shares were traded at around $37.33 with a P/E ratio of 16.3 and P/S ratio of 1.5. The dividend yield of Imperial Oil Ltd stocks is 1.2%. Imperial Oil Ltd had an annual average earning growth of 35.4% over the past 10 years. GuruFocus rated Imperial Oil Ltd the business predictability rank of 5-star.
No. 5: Leucadia National Corp. (LUK, Financial), Weightings: 2.96% - 5,195,529 Shares
LEUCADIA NATL is a diversified financial services holding companyprincipally engaged in personal and commercial lines of property and casualty insurance, life insurance, banking and lending and manufacturing. Leucadia National Corp. has a market cap of $5.52 billion; its shares were traded at around $22.69 with a P/E ratio of 28.7 and P/S ratio of 4.9.
To see Murray Stahl’s complete portfolio, click: http://www.gurufocus.com/ListGuru.php?GuruName=Murray+Stahl
GuruFocus provides real time information and insights of Investment Gurus such as Warren Buffett and Murray Stahl for Premium Members. If you are not a premium member, click here to sign up or upgrade. 7-Day Free Trial is available.
