Davis Real Estate Fund
Overview
Investment Strategy
The goal of the Davis Real Estate Fund is to provide investors access to attractive investment opportunities in companies related to the real estate industry.
The Fund applies our signature Davis Investment Discipline to real estate, seeking companies with first-class management teams who view real estate as a means of producing steadily increasing income and strong returns on capital.
Why Invest in the Davis Real Estate Fund
Increased Portfolio Diversification
The Fund offers investors a good way to increase the diversification of their portfolios. Real estate securities have historically shown a lower sensitivity to price movements (beta) than broad stock market averages. At the same time, real estate returns over the long term have been comparable to those of equities, but not correlated with them (R-squared).1
Aligned with Shareholders
With more than $2 billion invested in funds and other accounts following the same investment strategy, we experience the same risks and reap the same rewards.2
Lower than Average Expense Ratio4
Davis Real Estate Fund A, 0.97%; Lipper category average, 1.14%
Performance as of 12/31/18
The charts below illustrate the long-term performance and diversification attributes of the Davis Real Estate Fund.
Portfolio Characteristics as of 12/31/18
Portfolio Composition
Real Estate Fund | |
---|---|
Forecast P/E Ratio | 35.8 |
P/B Ratio | 2.7 |
Weighted Average Market Cap ($bn) | 17.6 |
Beta (3 year) | 1.0 |
Standard Deviation (5 year, A shares) | 12.8 |
Number of Holdings | 47 |
Turnover and Expenses
Real Estate Fund | Lipper Category Average | |
---|---|---|
Turnover Rate4 | 23% | 75% |
Expense Ratio4 | 0.97% | 1.14% |
Top 10 Holdings
Simon Property Group, Inc. | 7.8% |
AvalonBay Communities, Inc. | 6.2% |
Prologis, Inc. | 4.6% |
Equinix, Inc. | 4.3% |
Boston Properties, Inc. | 3.7% |
Public Storage, Inc. | 3.5% |
Essex Property Trust, Inc. | 3.3% |
Digital Realty Trust, Inc. | 3.3% |
American Campus Communities, Inc. | 3.2% |
Hudson Pacific Properties Inc. | 3.2% |
Sector Diversification
Residential | 23% | |
Retail | 21% | |
Specialized | 20% | |
Office | 18% | |
Industrial | 11% | |
Health Care | 3% | |
Hotel | 3% | |
Diversified | 1% |
Literature
Fact Sheet | ||
---|---|---|
Fund Fact Sheet | Download Share | Applying the Davis Investment Discipline to real estate-related businesses, potential asset allocation benefits for investors, Portfolio characteristics, holdings, performance, and more. |
Portfolio Composition | Download Share | Quarterly update of portfolio characteristics. |
Portfolio Manager Commentary | ||
Manager Commentary - Annual Review 2019 | Download View Share | Portfolio Managers Andrew Davis and Chandler Spears discuss the real estate market, Portfolio companies, and recent performance. |
This material must be accompanied or preceded by a current Davis Real Estate 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.
1Diversification does not insure against loss.
2As of December 31, 2018. This includes Davis Advisors, the Davis family and Foundation, our employees, and Fund Directors.
4See Expense ratio/Turnover link below.
(24) Read here for objective/risk disclosures
(26) Read here for Expense ratio/Turnover disclosures
Davis Distributors, LLC, 2949 East Elvira Road, Suite 101, Tucson, AZ 85756