Clipper Fund is a no-load equity mutual fund advised by Davis Selected Advisers, L.P.
The goal of the Clipper Fund is to provide investors access to attractive investment opportunities among large cap, durable, well-managed businesses. We seek to purchase these businesses at value prices and hold them for the long term. This approach makes the Clipper Fund an ideal foundation for an investor’s portfolio.
Click here to learn more about the Davis Investment Discipline.
Why Invest in the Clipper Fund
Sixty Years of Experience
Davis has compounded wealth for investors over six decades and three generations.
Aligned with Shareholders
With more than $2 billion invested side by side with fellow shareholders, we experience the same risks and reap the same rewards.1
Lower Than Average Expense Ratio3
Clipper Fund, 0.71%; Lipper Category Average, 0.89%.
Lower Than Average Turnover Rate3
Clipper Fund, 9%; Lipper Category Average, 45%.
Clipper invests in only a select group of well-researched companies
Clipper portfolio companies have offered attractive growth
Clipper portfolio companies are 41% less expensive than the index
5-Year EPS Growth**
Performance as of 3/31/23
as of March 31, 2023
* Returns for periods less than one year are not annualized.
The performance presented represents past performance and is not a guarantee of future results. Total return assumes reinvestment of dividends and capital gain distributions. Investment return and principal value will vary so that, when redeemed, an investor’s shares may be worth more or less than their original cost. The total annual operating expense ratio as of the most recent prospectus was 0.71%. The total annual operating expense ratio may vary in future years. Current performance may be higher or lower than the performance quoted. For most recent month-end performance, click here or call 800.432.2504. The Fund received favorable class action settlements from companies which it no longer owns. These settlements had a material impact on the investment performance of the Fund in 2009. This was a one-time event that is unlikely to be repeated. Clipper Fund was managed from inception, February 29, 1984, until December 31, 2005 by another Adviser. Davis Selected Advisers, L.P. took over management of the Fund on January 1, 2006.
Portfolio Characteristics as of 3/31/23
|Clipper Fund||S&P 500® Index|
|Forecast P/E Ratio||10.6||18.1|
|Weighted Average Market Cap ($bn)||242.4||511.0|
|Beta (3 year)||0.9||1.0|
|Standard Deviation (5 year)||21.1||18.6|
|Number of Holdings||28||503|
Top 10 Holdings
|Capital One Financial||6.0%|
|Bank of New York Mellon||5.6%|
Turnover and Expenses
|Lipper Category Average|
Top 5 Sectors
This material is authorized for use by existing shareholders. A current Clipper Fund prospectus must accompany or precede this material if it is distributed to prospective shareholders. You should carefully consider the Fund’s investment objective, risks, fees, and expenses before investing. Read the prospectus carefully before you invest or send money.
1As of December 31, 2022.
3See Expense ratio/Turnover link below.
** The Attractive Growth and Undervalued reference relates to underlying characteristics of the portfolio holdings. There is no guarantee that the Fund performance will be positive as equity markets are volatile and an investor may lose money. Past performance is not a guarantee of future returns. Performance may vary. Five-Year EPS Growth Rate is the average annualized earning per share growth for a company over the past five years. The values for the portfolio and index are the weighted average of the five-year EPS Growth Rates of the stocks in the portfolio or index. Forward Price/Earnings (Forward P/E) Ratio is a stock’s current price divided by the company’s forecasted earnings for the following 12 months. The values for the portfolio and index are the weighted average of the P/E ratios of the stocks in the portfolio or index.
(1) Read here for objective/risk disclosures
(3) Read here for Expense ratio/Turnover disclosures
(4) Read here for Index definition
(5) Read here for additional disclosures
Davis Distributors, LLC, 2949 East Elvira Road, Suite 101, Tucson, AZ 85756