Is Markel Corporation (NYSE:MKL) ready to raly soon? Investors who are in the know are in a bullish mood. The number of long hedge fund bets advanced by 1 recently.
In the 21st century investor’s toolkit, there are many methods shareholders can use to watch stocks. A pair of the best are hedge fund and insider trading movement. At Insider Monkey, our studies have shown that, historically, those who follow the best picks of the elite investment managers can outclass the market by a very impressive amount (see just how much).
Equally as important, optimistic insider trading activity is a second way to break down the investments you’re interested in. There are many motivations for an upper level exec to sell shares of his or her company, but just one, very simple reason why they would buy. Several empirical studies have demonstrated the impressive potential of this strategy if you know what to do (learn more here).
With these “truths” under our belt, we’re going to take a gander at the key action encompassing Markel Corporation (NYSE:MKL).
What have hedge funds been doing with Markel Corporation (NYSE:MKL)?
At year’s end, a total of 18 of the hedge funds we track held long positions in this stock, a change of 6% from one quarter earlier. With the smart money’s positions undergoing their usual ebb and flow, there exists a few noteworthy hedge fund managers who were boosting their stakes meaningfully.
When looking at the hedgies we track, Robert Joseph Caruso’s Select Equity Group had the largest position in Markel Corporation (NYSE:MKL), worth close to $132 million, accounting for 2.1% of its total 13F portfolio. On Select Equity Group’s heels is Charles Akre of Akre Capital Management, with a $101 million position; 2% of its 13F portfolio is allocated to the company. Other hedgies with similar optimism include Chuck Royce’s Royce & Associates, Brian Ashford-Russell and Tim Woolley’s Polar Capital and Ken Griffin’s Citadel Investment Group.
As industrywide interest jumped, specific money managers were breaking ground themselves. Halcyon Asset Management, managed by John Bader, assembled the most valuable position in Markel Corporation (NYSE:MKL). Halcyon Asset Management had 9 million invested in the company at the end of the quarter. Sander Gerber’s Hudson Bay Capital Management also initiated a $1 million position during the quarter. The only other fund with a brand new MKL position is Paul Tudor Jones’s Tudor Investment Corp.
How are insiders trading Markel Corporation (NYSE:MKL)?
Bullish insider trading is at its handiest when the primary stock in question has experienced transactions within the past six months. Over the latest half-year time frame, Markel Corporation (NYSE:MKL) has experienced 3 unique insiders purchasing, and 1 insider sales (see the details of insider trades here).
With the returns exhibited by the aforementioned strategies, everyday investors must always pay attention to hedge fund and insider trading sentiment, and Markel Corporation (NYSE:MKL) is an important part of this process.
Click here to learn more about Insider Monkey’s Hedge Fund Newsletter
Insider Monkey’s small-cap strategy returned 29.2% between September 2012 and February 2013 versus 8.7% for the S&P 500 index. Try it now by clicking the link above.
