TimesSquare Capital Management, an equity investment management company, released its “U.S. Mid Cap Growth Strategy” second-quarter investor letter. A copy of the same can be downloaded here. The equity markets performed well in the second quarter, as long as one held only a small number of the biggest, fastest-growing U.S. stocks. Given the Magnificent Seven’s superior performance, differences in growth and value among large caps were downplayed. There wasn’t much style diversity between mid-caps, small caps, or outside the U.S. In the second quarter, the strategy returned -2.94% (gross) and -3.14% (net) while the Russell Midcap Growth Index returned -3.21%. In addition, please check the fund’s top five holdings to know its best picks in 2024.
TimesSquare Capital U.S. Mid Cap Growth Strategy highlighted stocks like Interactive Brokers Group, Inc. (NASDAQ:IBKR), in the second quarter 2024 investor letter. Founded in 1977, Interactive Brokers Group, Inc. (NASDAQ:IBKR) is an automated electronic broker. The one-month return of Interactive Brokers Group, Inc. (NASDAQ:IBKR) was 2.09%, and its shares gained 32.44% of their value over the last 52 weeks. On September 11, 2024, Interactive Brokers Group, Inc. (NASDAQ:IBKR) stock closed at $122.77 per share with a market capitalization of $51.909 billion.
TimesSquare Capital U.S. Mid Cap Growth Strategy stated the following regarding Interactive Brokers Group, Inc. (NASDAQ:IBKR) in its Q2 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. One contributor this quarter was Interactive Brokers Group, Inc. (NASDAQ:IBKR), which offers automated, low-cost securities brokerage services for global retail investors. The company’s revenues and earnings edged ahead of forecasts. Interactive’s volume of daily average revenue trades increased each month during the quarter, its margins remained high—benefiting from the sustained high interest rate environment, and its management increased the company’s dividend. Combined, that gave its shares a 10% lift.”
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Interactive Brokers Group, Inc. (NASDAQ:IBKR) is not on our list of 31 Most Popular Stocks Among Hedge Funds. As per our database, 52 hedge fund portfolios held Interactive Brokers Group, Inc. (NASDAQ:IBKR) at the end of the second quarter which was 51 in the previous quarter. While we acknowledge the potential of Interactive Brokers Group, Inc. (NASDAQ:IBKR) 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 Interactive Brokers Group, Inc. (NASDAQ:IBKR) and shared the list of cryptocurrency stocks to buy according to hedge funds. Baron FinTech Fund benefitted from the performance of Interactive Brokers Group, Inc. (NASDAQ:IBKR) in Q2 2024. In addition, please check out our hedge fund investor letters Q2 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.
