Aristotle Capital Management, LLC, an investment management company, released its “Global Equity Strategy” third quarter 2023 investor letter. A copy of the same can be downloaded here. In the third quarter, the fund returned ‐4.06% gross of fees (‐4.13% net of fees), underperforming the MSCI World Index’s ‐3.46% return and the MSCI ACWI Index’s ‐3.40% return. The underperformance of the strategy relative to the MSCI World Index can be attributed to security selection, while allocation effects had a positive impact. At the same time, underperformance relative to the MSCI World Index was due to both allocation effects and security selection. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Aristotle Capital Global Equity Strategy highlighted stocks like Magna International Inc. (NYSE:MGA) in the third quarter 2023 investor letter. Headquartered in Aurora, Canada, Magna International Inc. (NYSE:MGA) designs, engineers, and manufactures automotive supplies. On October 12, 2023, Magna International Inc. (NYSE:MGA) stock closed at $52.79 per share. One-month return of Magna International Inc. (NYSE:MGA) was -7.76%, and its shares gained 8.02% of their value over the last 52 weeks. Magna International Inc. (NYSE:MGA) has a market capitalization of $15.126 billion.
Aristotle Capital Global Equity Strategy made the following comment about Magna International Inc. (NYSE:MGA) in its Q3 2023 investor letter:
“During the quarter, we sold our position in Magna International Inc. (NYSE:MGA) and invested in a new position, Jazz Pharmaceuticals. We first invested in Magna International, a Canada‐based global auto parts, systems and assembly company, in the first quarter of 2020. The company, in our opinion, has a unique capability of supplying parts for an increasingly electrified and autonomous fleet of vehicles. This includes Magna’s specialty in lightweighting vehicles—a necessity for heavy electric cars—as well as its years of investment in self‐driving technologies. In addition, with leading market share positions in many of its core markets and products, we believe Magna remains well positioned to benefit as content‐per‐vehicle increases and automotive parts and systems become more complex. Though the company continuesto meet each of our criteria for investment, we decided to exit our position in Magna to fund our purchase of Jazz Pharmaceuticals, which we view as a more optimal investment. “
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Magna International Inc. (NYSE:MGA) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 13 hedge fund portfolios held Magna International Inc. (NYSE:MGA) at the end of the second quarter, which was 15 in the previous quarter.
We discussed Magna International Inc. (NYSE:MGA) in another article and shared Vltava Fund’s views on the company. In addition, please check out our hedge fund investor letters Q3 2023 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
