1 Main Capital, a boutique investment firm, released its third-quarter 2022 investor letter. A copy of the same can be downloaded here. In the third quarter, the fund returned 1.1% net of fees and expenses compared to a -4.9% return for the S&P 500 Index and a -2.2% return for the Russell 2000 Index. In addition, you can check the top 5 holdings of the fund to know its best picks in 2022.
1 Main Capital highlighted stocks like KKR & Co. Inc. (NYSE:KKR) in its third-quarter investor letter. Headquartered in New York, New York, KKR & Co. Inc. (NYSE:KKR) is a real estate investment and private equity firm. On January 3, 2023, KKR & Co. Inc. (NYSE:KKR) stock closed at $46.68 per share. One-month return of KKR & Co. Inc. (NYSE:KKR) was -1.41%, and its shares lost 32.33% of their value over the last 52 weeks. KKR & Co. Inc. (NYSE:KKR) has a market capitalization of $52.389 billion.
1 Main Capital made the following comment about KKR & Co. Inc. (NYSE:KKR) in its Q3 2022 investor letter:
“Following the release of the Fund’s Q2 letter, where I discussed doubling down on KKR & Co. Inc. (NYSE:KKR), I fielded many questions and spent a fair amount of time in Q3 talking to people about the differences between public market strategies and private ones. In those conversations, many explained to me that just because Alts refuse to acknowledge paper losses in their portfolios when markets are down, doesn’t mean the losses aren’t real.
Because of the frequency of those conversations, I wanted to clarify something: losses are only real when you realize them and the Alts, unlike many hedge funds, are almost never forced sellers. In fact, Alts are typically able to give their holdings time to continue generating cash, grow organically and average down during market volatility by deploying fresh capital at attractive prices. With the luxury of time, they can wait to exit when enough value has been created and investor sentiment is less pessimistic, increasing the chances of a favorable outcome.
In public markets, on the other hand, prices are set by the marginal buyers and sellers and there are many times where there could be forced selling (divorce, death, illness) at times when there is very little appetite or ability for buyers to step in…” (Click here to read the full text)
STUDIO GRAND OUEST/Shutterstock.com
KKR & Co. Inc. (NYSE:KKR) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 59 hedge fund portfolios held KKR & Co. Inc. (NYSE:KKR) at the end of the third quarter, which was 51 in the previous quarter.
We discussed KKR & Co. Inc. (NYSE:KKR) in another article and shared Greenhaven Road Capital’s views on the company. In addition, please check out our hedge fund investor letters Q3 2022 page for more investor letters from hedge funds and other leading investors.
Suggested Articles:
- Citadel Stock Holdings
- 12 Best Performing Growth Stocks in 2022
- 15 Biggest Cryptocurrency Exchanges in the World
Disclosure: None. This article is originally published at Insider Monkey.
