Davis Financial Fund
Fund Statistics (Class A)
|Results from inception through 9/30/14 (A shares without a sales charge):|
|Average Fund in Category||10.98%|
The Davis Financial Fund seeks to purchase durable, well-managed financial businesses at value prices and hold them for the long term. It may also invest a small portion of assets in companies outside the financial industry.
We use the Davis Investment Discipline to uncover financial companies with competitive advantages, strong balance sheets, solid free cash flows and earnings growth potential, and proven outstanding management. We believe these types of businesses, purchased at attractive prices, should perform well for investors over time.
Why Invest in the Davis Financial Fund
According to Morningstar
“There may be only a handful of financial funds that can answer whether there is still money to be made in this sector, and Davis Financial, a top category performer, is one of them...” – Morningstar Analysis – 11/11
Sixty Years of Experience
The Davis family has compounded wealth for investors over six decades and three generations.
The Fund delivered an average annual return of 11.90% from its inception on May 1, 1991 through September 30, 2014 versus a return of 10.98% for the Lipper category average.1
Aligned with Shareholders
With more than $2 billion invested side by side with fellow shareholders, we experience the same risks and reap the same rewards.2
Lower than Average Expense Ratio4
Davis Financial Fund A, 0.88%; Lipper category average, 1.63%
Lower than Average Turnover Rate4
Davis Financial Fund, 0%; Lipper category average, 103%
Performance as of 9/30/14
The chart below illustrates the attractive long-term performance for the Davis Financial Fund.
|Total Returns as of
September 30, 2014
Davis Financial Fund Class A Shares
without a sales charge
|with a maximum 4.75% sales charge||0.98%||11.48%||18.75%||10.95%||5.37%||5.99%||10.50%||11.67%|
|S&P 500® Index||8.34%||19.73%||22.99%||15.70%||8.11%||4.87%||9.59%||9.52%|
*YTD is not annualized.
The performance presented represents past performance and is not a guarantee of future results. Total return assumes reinvestment of dividends and capital gain distributions. Investment return and principal value will vary so that, when redeemed, an investor’s shares may be worth more or less than their original cost. The total annual operating expense ratio for Class A shares as of the most recent prospectus was 0.88%. The total annual operating expense ratio may vary in future years. Returns and expenses for other classes of shares will vary. Current performance may be higher or lower than the performance quoted. For most recent month-end performance, click here or call 800.279.0279. The Fund received a favorable class action settlement from a company that it no longer owns. This settlement had a material impact on the investment performance of the Fund in 2009. This was a one time event that is unlikely to be repeated.
Portfolio Characteristics as of 9/30/14
|Financial Fund||S&P 500® Index|
|Forecast P/E Ratio||15.1||16.6|
|Weighted Average Market Cap ($bn)||90.4||128.4|
|Beta (3 year)||1.0||1.0|
|Standard Deviation (5 year, A Shares)||13.5||13.2|
|Number of Holdings||27||502|
Turnover and Expenses
|Lipper Category Average|
|Expense Ratio4 (A Shares)||0.88%||1.63%|
Top 10 Holdings
|Wells Fargo & Co.||9.8%|
|American Express Co.||9.1%|
|Bank of New York Mellon Corp.||6.8%|
|Visa Inc., Class A||4.7%|
|Everest Re Group, Ltd.||4.7%|
|JPMorgan Chase & Co.||4.6%|
|Julius Baer Group Ltd.||3.8%|
|American International Group Inc.||3.7%|
Top 5 Industries
|Fund Fact Sheet||Download Share||
Applying the Davis Investment Discipline to a broad spectrum of financial companies, Portfolio characteristics, top holdings, and performance.
|Portfolio Composition||Download Share||
Quarterly update of portfolio characteristics.
|Portfolio Manager Commentary|
|Manager Commentary - Semi-Annual Review 2014||Download View Share||
The Portfolio Manager offers his thoughts on the financial sector, individual companies in the Portfolio, and recent performance.
This material must be accompanied or preceded by a current Davis Financial Fund Prospectus. You should carefully consider the Fund’s investment objective, risks, charges, and expenses before investing. The prospectus contains this and other information and can be obtained by clicking here or calling 800.279.0279. Read the prospectus carefully before you invest or send money.
1Class A shares, not including a sales charge. As of September 30, 2014, the Davis Financial Fund had been categorized by Lipper as Financial Services. Past performance is not a guarantee of future results.
2As of June 30, 2014.
4See Expense ratio/Turnover link below.
Davis Distributors, LLC, 2949 East Elvira Road, Suite 101, Tucson, AZ 85756