The Hennessy Focus Fund Managers discuss portfolio earnings relative to the overall market, repercussions from the trade dispute, insight on the Fund’s financial holdings, and views regarding proposed mergers involving two portfolio companies.
In the following commentary, the Portfolio Managers of the Hennessy Equity and Income Fund (HEIFX/HEIIX) discuss how the Fund is benefitting from a strong U.S. consumer, the relative attractiveness of U.S. fixed income securities, and where they are finding opportunity in both the equity and fixed income markets.
Masa Takeda of Tokyo-based SPARX Asset Management Co., Ltd., subadvisor to the Hennessy Japan Fund, shares his “feet-on-the-street” perspective on the recent sales tax hike, the rise in dividends and share buybacks, Japanese equities’ low valuations, and how the Fund is positioned for 2020.
Portfolio Managers Ryan Kelley and Josh Wein review the Fund’s investment strategy and discuss the Fund’s most recent rebalance and changes in the portfolio composition. They also highlight the fundamental drivers of select sectors within the portfolio.
Increased attention is being paid to the inclusion of focused mutual funds in portfolio allocations. Studies have shown that concentrated portfolios can provide meaningful performance advantages over time.
Chief Investment Officer Neil Hennessy reviews current market fundamentals and shares his outlook for the coming year. He provides observations and insights on why he believes this extended bull market still has plenty of room to run.
Portfolio Managers Dave Ellison and Ryan Kelley discuss how interest rate cuts have affected banks, the health of the banking industry, currently low valuations, and opportunities in non-bank financials.
Portfolio Manager Tad Fujimura provides insights on how smaller or more domestically focused Japanese companies have been affected by the trade discussions, the sales tax increase, increased tourism, and corporate governance.
Portfolio Managers, Ryan Kelley and Josh Wein detail how the Hennessy Cornerstone Mid Cap 30 Fund utilizes a quantitative formula to select a concentrated portfolio of 30 domestic, mid-cap stocks.
The Hennessy Focus Fund Managers discuss their investment process, describe share buyback programs among portfolio companies, and share their insights on a few of the Fund’s largest holdings.