In our mid-year market update, our portfolio managers discussed recent market events in the US and abroad, as well as in US bond markets, and what investors should keep in mind in 2H 2023.
Margin of safety is a principle of investing in which an investor only purchases securities when their market price is significantly below their intrinsic value. In other words, when the market price of a security is significantly below your estimation of its intrinsic value, the difference is the margin of safety.
Acronyms referenced: Commercial Real Estate (CRE), Commercial Mortgage-Backed Securities (CMBS)
As of 31 May 2023, Diamond Hill owned shares of Alphabet Inc., Amazon.com Inc., Bank of America Corp., Caterpillar Inc., Deere & Co., Fomento Economico Mexicano SAB de CV, Ferguson plc, Freeport-McMoRan Inc., Honeywell International Inc., Howden Joinery Group plc, Microsoft Corp., Nintendo Co. Ltd., Regal Rexnord Corp., SS&C Technologies Holdings Inc., Tencent Holdings Ltd., Union Pacific Corp. and Waste Management Inc.
As of 30 April 2023, Diamond Hill owned debt in Apple Inc., Walmart Inc. and Waste Management Inc.
The views expressed are those of the speakers as of June 2023 and are subject to change without notice. These opinions are not intended to be a forecast of future events, a guarantee of future results or investment advice. Investing involves risk, including the possible loss of principal. Past performance is not a guarantee of future results.