Investment insights: A comparison of Hermes Management's Q1 2018 and Q2 2018 Holdings

Hermes Investment Management Ltd. recently released its Q2 2018 13F holdings report, revealing the changes in the fund's equity holdings from the previous quarter. The report provided insights into the fund’s overall strategy, positioning, and adjustments made over the past few months. This blog post will delve deeper into the changes outlined in the report and what they can tell us about the current investment landscape.

Introduction

In the highly competitive world of investment management, keeping a close eye on industry trends and staying ahead of the curve is critical. Active management involves being nimble and adaptable, as well as making informed decisions based on market research and insights. The Q2 2018 13F holdings report from Hermes Investments is a valuable tool for investors looking to gain an understanding of the fund's strategy and positioning.

Main Body

The report showed an overall increase in the total value of the fund's holdings, soaring from $7.67 billion to $8.7 billion. However, this increase was not uniform, and while some holdings were increased, others were trimmed or even eliminated entirely. Below are some notable stocks that were affected.

Alibaba Group Holding Limited (BABA)

Hermes Investments increased its holdings in Alibaba by 7.9%, jumping from 2.99 million shares to 3.19 million shares. This increase in Alibaba investments indicates that the fund believes in the long-term potential of the Chinese e-commerce giant.

Taiwan Semiconductor Manufacturing Company Limited (TSM)

Hermes Investments increased its holdings in the world's largest foundry chipmaker, TSMC by 7.6%, from 8.89 million shares to 11.45 million shares, showing a strong bullish sentiment towards the company’s growth potential.

Cognex Corporation (CGNX)

The fund reduced its stake in Cognex Corporation by 13.1%, sending its holdings down from 1.22 million shares to 1.23 million shares. This could be a sign that the fund believes the company’s long-term prospects may be limited.

Disney Walt Co (DIS)

Hermes Investments increased its DIS holdings by 33.1% from 588,979 shares to 751,022 shares. This speaks to the fund's confidence in the company's recently released streaming service.

Verizon Communications Inc (VZ)

Hermes Investments took a big bet on Verizon, increasing its holdings from 732,489 shares to 1.02 million shares, a whopping 47.6% increase. Investors believe that the stock is undervalued and expect it to jump higher in the next few months.

Conclusion

The Q2 2018 13F holdings report from Hermes Investments provides valuable insights into the fund's positioning, strategy, and adjusting in the past few months. By analyzing the report, investors can gain a better understanding of the fund's moves and use that information to make informed decisions of their own. Understanding a fund's portfolio changes and investment decisions can not only enhance your investment knowledge but also help you make informed decisions about your portfolio.