Generation Investment Management, an investment management firm, released its “Global Equity Strategy” first quarter 2023 investor letter. A copy of the same can be downloaded here. The strategy performed roughly in line with the benchmark on a rolling five-year net basis and it is about 1.3% below on a rolling three-year net basis. The main reasons for the underperformance of the strategy were overestimation of the quality of the holdings, change in the external environment, and overpayment for some companies. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
Generation Investment Management Global Equity Strategy highlighted stocks like The Charles Schwab Corporation (NYSE:SCHW) in the first quarter 2023 investor letter. Headquartered in Westlake, Texas, The Charles Schwab Corporation (NYSE:SCHW) is a savings and loan holding company. On June 14, 2023, The Charles Schwab Corporation (NYSE:SCHW) stock closed at $54.35 per share. One-month return of The Charles Schwab Corporation (NYSE:SCHW) was 5.02%, and its shares lost 10.70% of their value over the last 52 weeks. The Charles Schwab Corporation (NYSE:SCHW) has a market capitalization of $98.919 billion.
Generation Investment Management Global Equity Strategy made the following comment about The Charles Schwab Corporation (NYSE:SCHW) in its first quarter 2023 investor letter:
“Your portfolio has been relatively insulated from recent banking troubles. The Charles Schwab Corporation (NYSE:SCHW) is the only financials company in your portfolio (forming 2.37% of it). The company’s share price has suffered. We are watching the situation closely. Regulators have responded quickly to the turmoil. After a few weeks when people were withdrawing deposits from small banks across America, the rush seems to have slowed.
We do not have strong views on whether the banking turmoil will tip the global economy into recession. We are not economists, and in any case the global economy has rarely been so hard to predict. Forecasters are trying to weigh up a large number of highly unusual variables: a land war in Europe, the fallout from massive fiscal stimulus in 2020– 21 and high inflation. In this environment all judgments about the macro economy are uncertain.”
Photo by Brendan Church on Unsplash
The Charles Schwab Corporation (NYSE:SCHW) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 87 hedge fund portfolios held The Charles Schwab Corporation (NYSE:SCHW) at the end of first quarter 2023 which was 74 in the previous quarter.
We discussed The Charles Schwab Corporation (NYSE:SCHW) in another article and shared Mairs & Power Growth Fund’s views on the company. In addition, please check out our hedge fund investor letters Q1 2023 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.
