Confluence Wealth Management 13F Holdings Comparison: Q2 2020 vs. Q3 2020 Insights and Trends

Confluence Wealth Management LLC Q2 2020 vs. Q3 2020 13F Holdings Comparison

Confluence Wealth Management LLC is a registered investment advisory firm that offers strategic wealth planning and investment management services to individuals and businesses. As part of their investment management services, Confluence monitors and adjusts their clients' portfolios through buying and selling various stocks and exchange-traded funds (ETFs).

One way Confluence tracks their clients' portfolios is through their 13F filings, which are quarterly reports required by the SEC of institutional investment managers with assets over $100 million. These filings show the holdings and changes in holdings of the investment manager's portfolio.

Confluence's Q2 2020 vs. Q3 2020 13F holdings comparison report provides valuable insights into the changes made in their clients' portfolios during the third quarter of 2020. The table includes the stock symbol, issuer name, option type, number of shares held in Q2 2020 and Q3 2020, the value of those shares in thousands of dollars, and the percentage change in holdings between the two quarters.

Some of the trends and notable changes in Confluence's clients' portfolios include:

1. Increase in International Equity ETFs

One of the largest percentage increases in holdings was seen in the iShares MSCI EAFE ETF (EFA), which saw an 87.4% increase in the number of shares held. Additionally, the Vanguard FTSE Developed Markets ETF (VEA) and the Vanguard FTSE Emerging Markets ETF (VWO) also saw significant increases in holdings.

This trend suggests that Confluence's clients are looking to diversify their portfolios globally, tapping into the growth opportunities in international markets.

2. Decrease in Apple Inc. (AAPL) Holdings

Apple Inc. (AAPL) saw a 30.2% decrease in the value of the shares held by Confluence's clients. This could be due to concerns over the company's revenue streams, as well as the recent controversies over their App Store practices and antitrust allegations.

3. Increase in Mid-Cap Exposure

The SPDR S&P MidCap 400 ETF (MDY) saw a 25.3% increase in the number of shares held by Confluence's clients. This trend could be due to the potential for mid-cap companies to outperform large-cap companies, as well as the potential for increased growth opportunities as the economy continues to recover.

4. Decrease in Technology Company Holdings

Microsoft Corporation (MSFT) saw a 32.4% decrease in the value of shares held, while Intuitive Surgical Inc. (ISRG) and Adobe Inc. (ADBE) also saw significant decreases.

This shift away from technology companies could be due to concerns over their high valuations and potential for volatility amidst the economic uncertainty caused by the COVID-19 pandemic.

5. Increase in Financial Company Holdings

Many financial companies saw an increase in the number of shares held, including US Bancorp (USB), JPMorgan Chase & Co. (JPM), and Berkshire Hathaway Inc. (BRK-B).

This could be due to the perceived value and stability of financial companies during times of economic uncertainty, as well as the potential for interest rate hikes in the future.

6. Decrease in Large-Cap ETF Holdings

The iShares Russell 1000 ETF (IWB) saw a 21.7% decrease in the value of shares held, while the iShares Russell 1000 Value ETF (IWD) saw a 40.6% decrease.

This shift away from large-cap ETFs could be due to concerns over their historically high valuations and potential for market correction.

Overall, Confluence's Q2 2020 vs. Q3 2020 13F Holdings Comparison report provides valuable insights into the changes made in their clients' portfolios during the third quarter of 2020. The trends and notable changes suggest that their clients are seeking to diversify their portfolios globally, increase exposure to mid-cap companies, and shift away from high-valuation technology companies. Additionally, the increase in financial company holdings suggests a belief in the stability and potential for strong returns in the financial sector.