Parnassus Investments, an investment management company, released the “Parnassus Core Equity Fund” fourth quarter 2024 investor letter. A copy of the letter can be downloaded here. In the fourth quarter, U.S. stocks rose, closing up a robust 2024. The Fund (Investor Shares) surged 0.28% (net of fees) in the quarter underperforming the S&P 500 Index’s 2.41% return. For the year, the fund returned 18.52% (net of fees) compared to S&P 500 Index’s 25.02%. Stocks soared after the U.S. presidential election as investors awaited the incoming administration’s business-friendly policies. In addition, please check the fund’s top five holdings to know its best picks in 2024.
In its fourth quarter 2024 investor letter, Parnassus Core Equity Fund emphasized stocks such as Bank of America Corporation (NYSE:BAC). Bank of America Corporation (NYSE:BAC) offers various financial products and services for individual consumers, small and middle-market businesses, institutional investors, large corporations, and governments. The one-month return of Bank of America Corporation (NYSE:BAC) was -13.63%, and its shares gained 11.82% of their value over the last 52 weeks. On March 12, 2025, Bank of America Corporation (NYSE:BAC) stock closed at $39.91 per share with a market capitalization of $303.428 billion.
Parnassus Core Equity Fund stated the following regarding Bank of America Corporation (NYSE:BAC) in its Q4 2024 investor letter:
“Bank of America Corporation (NYSE:BAC) has benefited from diverse sources of strength, with significant growth in investment banking alongside resilient consumer banking growth. Following the November U.S. election, shares jumped on anticipation of favorable regulatory changes by the incoming administration.”
A senior executive in a suit standing in a conference room with a poster of the Pioneer Investment Management’s credit rating in the background.
Bank of America Corporation (NYSE:BAC) is in 24th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 113 hedge fund portfolios held Bank of America Corporation (NYSE:BAC) at the end of the fourth quarter which was 98 in the previous quarter. While we acknowledge the potential of Bank of America Corporation (NYSE:BAC) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
In another article, we discussed Bank of America Corporation (NYSE:BAC) and shared the list of stocks on Jim Cramer and Wall Street’s radar. In addition, please check out our hedge fund investor letters Q4 2024 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.