Artisan Partners, an investment management company, released its “Artisan Global Discovery Fund” second quarter 2023 investor letter. A copy of the same can be downloaded here. In the second quarter, its Investor Class fund APFDX returned 1.78%, Advisor Class fund APDDX posted a return of 1.78%, and Institutional Class fund APHDX returned 1.83%, compared to a return of 6.18% for the MSCI All Country World Index. Security selection in the IT and healthcare Sector led the fund to underperform in the quarter. Year-to-date, APFDX, APDDX, and APHDX returned 13.51%, 13.54%, and 13.68%, respectively, compared to 13.93% for the benchmark. In addition, please check the fund’s top five holdings to know its best picks in 2023.
Artisan Global Discovery Fund highlighted stocks like Nu Holdings Ltd. (NYSE:NU) in the second quarter 2023 investor letter. Headquartered in Sao Paulo, Brazil, Nu Holdings Ltd. (NYSE:NU) offers digital banking platform and digital financial services. On August 23, 2023, Nu Holdings Ltd. (NYSE:NU) stock closed at $7.25 per share. One-month return of Nu Holdings Ltd. (NYSE:NU) was -6.81%, and its shares gained 45.29% of their value over the last 52 weeks. Nu Holdings Ltd. (NYSE:NU) has a market capitalization of $34.384 billion.
Artisan Global Discovery Fund made the following comment about Nu Holdings Ltd. (NYSE:NU) in its second quarter 2023 investor letter:
“Among our top contributors were Nu Holdings Ltd. (NYSE:NU), Bentley Systems and Shockwave Medical. Through its subsidiaries, NU Holdings provides loans and digital banking services primarily in Brazil and more recently in Mexico and Columbia. Nubank was created due to the need for access to financial services and terrible customer service by Brazil’s largest banks. Unlike the US, with over 4,000 banks, Brazil, Mexico and Columbia have very concentrated banking systems. Not only are these legacy banks lagging in terms of technology and innovation, but they also carry the high physical costs of branches and people. Nubank is a completely digital online bank. The company has a long history in consumer credit, including a co-founder who brought a wealth of experience from working at Capital One. We believe the company uses data far more effectively than peers. It has a deep bench of software engineers and data scientists, both of which help it to collect and interpret a deluge of data points to better understand customer behavior, risks and financial needs. We believe this allows it to not only service its customers better but also have better credit results. Our research indicates that it has a lower cost to acquire customers, lower cost to service customers and lower credit costs versus its large competitors. We believe Nubank will continue to generate attractive growth due to its ability to add customers at high rates, not only from targeting the legacy bank market but also serving the underserved populations that legacy banks can’t/won’t target.”
Photo by Clay Banks on Unsplash
Nu Holdings Ltd. (NYSE:NU) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 44 hedge fund portfolios held Nu Holdings Ltd. (NYSE:NU) at the end of second quarter which was 38 in the previous quarter.
We discussed Nu Holdings Ltd. (NYSE:NU) in another article and shared Baron FinTech Fund’s views on the company. In addition, please check out our hedge fund investor letters Q2 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.
