TimesSquare Capital Management, an equity investment management company, released its “U.S. Focus Growth Strategy” fourth-quarter 2024 investor letter. A copy of the letter can be downloaded here. In the fourth quarter, the strategy returned -1.35% (gross) and -1.56% (net) compared to 8.14% for the Russell Midcap Growth Index. In the fourth quarter, the U.S. small to mid-cap growth equities with the greatest valuation (P/E), lowest quality (return on equity), or highest risk (beta or volatility) provided the strongest gains. In this environment, the portfolio’s fourth-quarter performance fell short of the Russell Midcap® Growth Index, resulting in poor performance for the year. In addition, please check the fund’s top five holdings to know its best picks in 2024.
In its fourth quarter 2024 investor letter, TimesSquare Capital Management U.S. Focus Growth Strategy emphasized stocks such as RenaissanceRe Holdings Ltd. (NYSE:RNR). RenaissanceRe Holdings Ltd. (NYSE:RNR) is a reinsurance and insurance products provider. The one-month return of RenaissanceRe Holdings Ltd. (NYSE:RNR) was -3.64%, and its shares gained 4.33% of their value over the last 52 weeks. On April 4, 2025, RenaissanceRe Holdings Ltd. (NYSE:RNR) stock closed at $232.67 per share with a market capitalization of $11.4 billion.
TimesSquare Capital Management U.S. Focus Growth Strategy stated the following regarding RenaissanceRe Holdings Ltd. (NYSE:RNR) in its Q4 2024 investor letter:
“In the Financials sector we tend to avoid banks that face credit deterioration or rising deposit costs, preferring either asset managers or specialized insurance companies. RenaissanceRe Holdings Ltd. (NYSE:RNR), a provider of reinsurance and insurance services, lost -8%. Third quarter earnings were well above Street projections, driven by higher Property segment reserve releases and a lower catastrophe loss ratio. The Casualty & Specialty side of the business experienced an elevated loss ratio and deteriorating reserve releases. Net investment income and share buybacks were better than expected. We trimmed the position during the quarter.”
A top-view of a large city skyline, exemplifying the power and the protection of a reinsurance company.
RenaissanceRe Holdings Ltd. (NYSE:RNR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 25 hedge fund portfolios held RenaissanceRe Holdings Ltd. (NYSE:RNR) at the end of the fourth quarter which was 29 in the previous quarter. While we acknowledge the potential of RenaissanceRe Holdings Ltd. (NYSE:RNR) 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.
We covered RenaissanceRe Holdings Ltd. (NYSE:RNR) in another article, where we shared the list of high growth non-tech stocks that are profitable in 2025. 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.