Baron Asset Fund recently published its first-quarter commentary – a copy of which can be downloaded here. During the first quarter of 2021, the Baron Asset Fund returned -1.03% (institutional shares). In comparison, the benchmark S&P 500 Index was up 6.17%, while the Russell Midcap Growth Index was down 0.57%. You should check out Baron Asset Fund’s top 5 stock picks for investors to buy right now, which could be the biggest winners of 2021.
In the Q1 2021 Investor Letter, the fund highlighted a few stocks and Schwab Charles Corp (NYSE:SCHW) is one of them. Schwab Charles Corp (NYSE:SCHW) is a financial services company. In the last three months, Schwab Charles Corp (NYSE:SCHW) stock gained 18.8% and on April 23rd it had a closing price of $67.14. Here is what the fund said:
“Shares of brokerage firm The Charles Schwab Corp. rose in the quarter. The company continued to successfully integrate its acquisition of TD Ameritrade. The merger enables Schwab to leverage efficiencies of scale to drive down its industry-leading operating costs per client assets even further. Additionally, net new assets grew in the mid-single-digits as customers tapped the services of the combined businesses. Finally, the business now has over $400 billion of interest-earning assets, which will generate improved profitability in a more normalized interest rate environment.”
Baron Fund has been a long time Schwab Charles Corp (NYSE:SCHW) bull. In March 2021, we shared Baron Fund’s bullish SCHW’s thesis in this article.
In Q4 2020, the number of bullish hedge fund positions on Schwab Charles Corp (NYSE:SCHW) stock increased by about 15% from the previous quarter (see the chart here), so a number of other hedge fund managers believe in SCHW’s growth potential. Our calculations showed that Schwab Charles Corp (NYSE:SCHW) isn’t ranked among the 30 most popular stocks among hedge funds.
The top 10 stocks among hedge funds returned 231.2% between 2015 and 2020, and outperformed the S&P 500 Index ETFs by more than 126 percentage points. We know it sounds unbelievable. You have been dismissing our articles about top hedge fund stocks mostly because you were fed biased information by other media outlets about hedge funds’ poor performance. You could have doubled the size of your nest egg by investing in the top hedge fund stocks instead of dumb S&P 500 ETFs. Here you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.
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Disclosure: None. This article is originally published at Insider Monkey.
