Equity markets rebounded sharply in October, reflecting a relative moderation of inflationary factors, stability in the U.S. Dollar and 10-Year Treasury yields, as well as satisfactory corporate earnings. The BBH Select Series – Large Cap Fund (“the Fund”) gained 6.13% for the month compared to 8.10% for the S&P 500. From an attribution perspective, key contributors were Information Technology selection and an overweight position in Financials. Primary detractors included security selection in the Health Care sector and a lack of investment in Energy - a sector that outperformed all other sectors by a wide margin with a gain of almost 25% for the month. At the security level, top contributors included Mastercard (15.61%), Oracle (28.49%), and Berkshire Hathaway (9.49%). Primary detractors included Amazon.com (-9.35%), Pool Corp (-6.18%), and Alphabet (-1.55%). At month-end, the Fund held 29 securities, 46.5% in the top 10, and 6.3% in cash. Turnover during the trailing 12 months was approximately 25%.
Holdings are subject to change. Totals may not sum due to rounding.
Price/Earnings (P/E) ratio is a company’s current share price divided by earnings per-share.
Turnover ratio is the rate of trading in a portfolio; higher values imply more frequent trading.
Opinions, forecasts, and discussions about investment strategies represent the author’s views as of the date of this commentary and are subject to change without notice. References to specific securities, asset classes, and financial markets are for illustrative purposes only and are not intended to be, and should not be interpreted as recommendations.
Purchase and sale information provided should not be considered as a recommendation to purchase or sell a particular security and that there is no assurance, as of the date of publication, that the securities purchased remain in a fund's portfolio or that securities sold have not been repurchased.
Investors in the Fund should be able to withstand short-term fluctuations in the equity markets and fixed income markets in return for potentially higher returns over the long term. The value of portfolios change every day and can be affected by changes in interest rates, general market conditions and other political, social and economic developments.
The Fund is ‘non-diversified’ and may assume large positions in a small number of issuers which can increase the potential for greater price fluctuation.
International investing involves special risks including currency risk, increased volatility, political risks, and differences in auditing and other financial standards. For more complete information, visit www.bbhfunds.com for a prospectus. You should consider the fund's investment objectives, risks, charges and expenses carefully before you invest. Information about these and other important subjects is in the fund's prospectus, which you should read carefully before investing.
Shares of the Fund are distributed by ALPS Distributors, Inc. and is located at 1290 Broadway, Suite 1000, Denver, CO 80203.
Brown Brothers Harriman & Co. ("BBH"), a New York limited partnership, was founded in 1818 and provides investment advice to registered mutual funds through a separately identifiable department (the "SID"). The SID is registered with the U.S. Securities and Exchange Commission under the Investment Advisers Act of 1940. BBH acts as the Fund Administrator and is located at 140 Broadway, New York, NY 10005.
Not FDIC Insured No Bank Guarantee May Lose Money
IM-12041-2022-11-22 BBH003630 Exp. Date 12/31/2022