MHI Funds’ 2020 Investments: A Comparison of Q4 and Q1 Holdings

MHI Funds, LLC reported its quarterly 13F holdings for Q1 2020, which displays a significant change in the company’s investment status from the previous quarter. The data report presents the firms’ holdings in public companies of at least $100 million or more in assets as of March 31, 2020.

The following article focuses on MHI Funds, LLC Q4 2019 vs. 2020 Q1 13F holdings comparison. We’ll take a closer look at the top stocks that experienced the most significant percentage change in shares, value, and overall assets. Additionally, we’ll highlight the primary contributors to the company’s portfolio performance and engage relevant debates regarding whether or not these new acquisitions align with the company’s investment objectives.

Let's dive in.

Gilead Sciences Inc Com

At the end of Q4 2019, MHI Funds, LLC’s total shares with Gilead Sciences Inc Com equaled 44,136 with a value of $2,868,000. Fast forward to Q1 of 2020, and the shares had been reduced by 15,961 to equal 28,175 at a value of $2,106,000—a 26.6% change in investment. Gilead’s Remdesivir, an experimental drug for COVID-19, is likely a factor in this change.

Verizon Communications Inc Com

Verizon Communications took a similarly significant hit, going from 46,322 shares valued at $2,844,000 in Q4 2019 to 29,571 shares valued at $1,589,000 in Q1 2020. This reduction in value represents a 44.1% shift in the company’s investment in Verizon Communications.

Taiwan Semiconductor Mfg Ltd S

MHI Funds, LLC went from holding 44,459 shares of Taiwan Semiconductor in Q4 of 2019 with a value of $2,583,000, to holding 28,382 shares with a value of $1,356,000 in Q1 of 2020—a 47.5% decrease.

Other Notable Changes

The following companies experienced significant changes in MHI Funds, LLC’s investment transactions:

- Texas Instrs Inc Com underwent a 50.3% decline in value

- Broadcom Inc Com underwent a 52.1% decline in shares held

- Eaton Corp PLC Shs experienced a 72.5% decline in shares held

- Fidelity National Financial Inc underwent an 80.5% change in value

- Target Corp Com underwent a 73.8% change in value

Conclusion

MHI Funds, LLC’s Q1 2020 shows changes in investment storylines. The portfolio experienced significant reductions in value, forcing a reassessment of the firm's investment outlook. The question remains whether this reduction is a result of economic factors, reduced performance expectations, or a strategic choice for investment reallocation. Only time will tell how these liquidations or reductions will impact the firm's choices in the future.