Baron Growth Fund
Symbol BGRIXCUSIP: 068278704
Symbol BGRIXCUSIP: 068278704
S
Small-Cap GrowthNav
$106.82
Daily Change $0.97 (0.92%)
As of 11/05/2024
As of 11/05/2024
Net Assets
$7.59 B
As of 09/30/2024
Morningstar Rating™
As of 09/30/2024
Morningstar Medalist Rating™
SILVER
Inception date
12/31/1994
Prices & Performance
PricesAs of 11/05/2024
NAV | Daily Change ($) | Daily Change (%) | MTD | QTD | YTD |
---|---|---|---|---|---|
$106.82 | $0.97 | 0.92% | 1.31% | -1.81% | 5.68% |
NAV | $106.82 |
---|---|
Daily Change ($) | $0.97 |
Daily Change (%) | 0.92% |
MTD | 1.31% |
QTD | -1.81% |
YTD | 5.68% |
PerformanceAs of 09/30/2024
Portfolio or Index | QTD1 | YTD1 | 1 Year | 3 Years | 5 Years | 10 Years | Since Inception 12/31/1994 |
---|---|---|---|---|---|---|---|
BGRIX - Baron Growth Fund - I | 11.15% | 7.63% | 15.92% | 0.77% | 10.77% | 11.33% | 12.81% |
Russell 2000 Growth Index | 8.41% | 13.22% | 27.66% | -0.35% | 8.82% | 8.95% | 7.92% |
Russell 3000 Index | 6.23% | 20.63% | 35.19% | 10.29% | 15.26% | 12.83% | 10.81% |
Performance InformationAs of 09/30/2024
Performance statistics | 3 Years | 5 Years | 10 Years | Since Inception |
---|---|---|---|---|
Standard Deviation (%) | 21.05 | 22.38 | 18.72 | 18.16 |
Sharpe Ratio | -0.14 | 0.37 | 0.52 | 0.57 |
Alpha (%) | 1.07 | 3.16 | 3.73 | 6.63 |
Beta | 0.83 | 0.85 | 0.83 | 0.72 |
R-Squared (%) | 82.76 | 83.93 | 83.57 | 79.83 |
Tracking Error (%) | 9.59 | 9.66 | 8.41 | 10.32 |
Information Ratio | 0.12 | 0.20 | 0.28 | 0.47 |
Upside Capture (%) | 85.35 | 86.86 | 87.38 | 84.33 |
Downside Capture (%) | 82.70 | 77.48 | 74.14 | 64.46 |
Except for Standard Deviation and Sharpe Ratio, the performance based-characteristics above were calculated relative to the Baron Growth Fund's(BGRIX) benchmark (Russell 2000 Growth Index). Performance statistics for additional periods will be provided on request. Source FactSet: SPAR.
Risk & Return109/30/2019 - 09/30/2024
1 Source: FactSet SPAR.
Portfolio Holdings & Characteristics
HoldingsAs of 09/30/2024
Holding | Sector | % of Net Assets | |
---|---|---|---|
Arch Capital Group Ltd. Arch Capital Group Ltd. (ACGL) is a Bermuda-based insurance company providing property & casualty insurance, reinsurance, and mortgage insurance. Arch is led by an experienced management team with a successful track record across insurance cycles. The company excels at underwriting specialized policies and can nimbly shift its business mix to target the most profitable lines as market conditions change. It operates in a large global market and is currently benefiting from favorable pricing trends across many of its product lines. In our view, management has demonstrated strong underwriting discipline and capital stewardship, allowing Arch to maintain industry-leading returns on equity with less volatility. | Financials | 13.2% | |
MSCI Inc. MSCI Inc. (MSCI) provides investment decision support tools to global investment institutions. We believe MSCI, the de facto standard for measuring global market performance, is positioned to benefit from the continuing development of emerging markets, passive investing, ESG, and the growth of global financial assets. We believe the company's indices remain the global standard for cross-border investing and will continue to be selected by institutions when issuing new mandates. Both the index and multi-asset portfolio and risk analytics products are mission-critical and deeply embedded in client workflows. | Financials | 10.7% | |
Gartner, Inc. Gartner, Inc. (IT) is the leading independent provider of research and advisory services for IT, HR, sales, finance, and marketing leaders. Gartner has a vast addressable market, which management estimates exceeds $70 billion annually, implying a penetration rate of less than 3%. IT is rapidly changing and growing in strategic importance, leading users to turn to third-party providers for insight into trends. Gartner enjoys retention rates of more than 100%, driven by the low price of its research relative to value. We think consistent execution in Global Technology Sales and improvements in Global Business Sales will help accelerate Research growth into the low double digits. | Information Technology | 9.5% | |
FactSet Research Systems Inc. FactSet Research Systems Inc. (FDS) provides financial information to the global investment community. FactSet serves only a small part of the addressable market, which we estimate at roughly $20 billion annually. The company offers broader data sets and more advanced portfolio analytics than peers and has a highly regarded customer service model. FactSet has also been expanding into the fixed income and wealth management markets. Its products are sticky, leading to retention rates of over 95% and high visibility. It generates robust free cash flow, which it has returned to shareholders via share repurchases and dividends. | Financials | 6.8% | |
Kinsale Capital Group, Inc. Kinsale Capital Group, Inc. (KNSL) is a property and casualty insurer focused exclusively on the excess and surplus (E&S) lines market, which includes risks that are unique or difficult to place in the standard insurance market. We believe Kinsale is a well-run insurer that should grow earnings and book value per share much faster than its peers. Its focus on the attractive E&S market, underwriting discipline, and efficient technology platform enable Kinsale to rapidly grow premiums while delivering industry-leading underwriting margins. Management is highly regarded and has decades of experience in the E&S market. We believe Kinsale has a long runway for growth in an attractive segment of the P&C insurance market. | Financials | 5.7% | |
Choice Hotels International, Inc. Choice Hotels International, Inc. (CHH) is one of the world's largest hotel franchisors, with brands in the economy, midscale, and upscale segments. Its contracts are long term, with many as long as 20 years. Brands include Quality Inn, Comfort Inn, Cambria Suites, Ascend, Radisson, and Everhome. Choice has a strong franchising business with recurring revenue. It has demonstrated consistent profitability across cycles through increased room prices, occupancy, and royalty rates as well as new unit growth. It has a solid pipeline of new hotel franchisee contracts in revenue-intense segments and is actively expanding the number of upscale brands in its portfolio. Choice recently expanded its buyback program to 14% of its outstanding shares. | Consumer Discretionary | 5.1% | |
CoStar Group, Inc. CoStar Group, Inc. (CSGP) is the leading provider of information and marketing services to the commercial real estate industry. CoStar has built a proprietary database through data collection over a 20-year period, creating high barriers to entry. We think CoStar's suite should grow at mid-teens rates, and we believe its Loopnet marketing platform can grow even faster. Its Apartments.com platform is the dominant multi-family internet listing service and should grow revenue by more than 20%. CoStar is starting to expand into residential, creating additional significant growth opportunities. Its balance sheet and cash generation create M&A optionality. | Real Estate | 5.0% | |
Primerica, Inc. Primerica, Inc. (PRI) is a leading provider of term life insurance and investment products to middle income households in the U.S. and Canada. As the responsibility for retirement savings increasingly shifts to individuals, Primerica serves a growing need for financial planning in the underserved middle income customer segment. Primerica has a variable-cost, multi-level distribution model that uniquely positions it to reach customers in a cost-efficient manner. The company is growing its sales force and increasing productivity, leading to higher sales and asset-based fees. Primerica generates significant excess capital, which is being returned to shareholders through share repurchases and dividends. | Financials | 4.7% | |
Vail Resorts, Inc. Vail Resorts, Inc. (MTN) is the largest ski resort operator in North America. It owns 42 resorts in the U.S., Canada, Switzerland, and Australia, including Vail and Breckenridge in Colorado, Whistler Blackcomb in Canada, and Stowe in Vermont. Its RockResorts hotel brand offers luxury ski lodging properties. Vail has been upgrading its resorts to offer new and higher-quality services and amenities and summer recreational activities, which should attract more visitors. Vail is focused on growing season pass sales and has been acquiring resorts and forming partnerships to enhance the attractiveness of its season pass. We think price increases for season passes should not impact retention rates. The company has a strong balance sheet and free cash flow profile that it is using for acquisitions, investments in its resorts, dividend increases, share buybacks, and debt reduction. | Consumer Discretionary | 4.6% | |
Morningstar, Inc. Morningstar, Inc. (MORN) is a leading data provider for the investment community. Key products for public investors include Morningstar's investment database, intellectual property such as the Style Box, and category and fund ratings. Morningstar also owns PitchBook, a leading private market data provider. Morningstar produces strong free cash flow margins and benefits from significant barriers to entry. The high fixed cost of gathering and analyzing financial information keeps many competitors out, and the company has developed an inexpensive and scalable distribution platform. In our view, the company can continue topline growth and increase margins toward peer levels, driving strong long-term earnings prospects. We think Morningstar is well positioned to benefit from continued investor demand for data in the years ahead. | Financials | 3.9% | |
Total Total | 69.1% |
Top Ten Fund Holdings based on net assets. Portfolio holdings may change over time.
Portfolio holdings are subject to change. Current and future portfolio holdings are subject to risk.
Portfolio holdings are subject to change. Current and future portfolio holdings are subject to risk.
Contributors / DetractorsQuarterly as of 09/30/2024
Top Contributors | Average Weight | Contribution |
---|---|---|
MSCI Inc. | 10.57% | 2.16% |
Arch Capital Group Ltd. | 12.75% | 1.33% |
Gartner, Inc. | 9.51% | 1.21% |
Kinsale Capital Group, Inc. | 5.71% | 1.13% |
FactSet Research Systems Inc. | 6.81% | 0.85% |
Source: FactSet PA.
GICS Sector BreakdownAs of 09/30/2024
Sector
Financials
49.2%
Information Technology
16.3%
Consumer Discretionary
14.1%
Real Estate
10.2%
Health Care
6.6%
Communication Services
2.8%
Industrials
0.8%
Materials
0.0%
Sub-Industry
09/30/2024Financial Exchanges & Data21.50%
Property & Casualty Insurance18.80%
IT Consulting & Other Services9.50%
Application Software6.80%
Hotels, Resorts & Cruise Lines5.10%
Real Estate Services 5.00%
Life & Health Insurance4.70%
Leisure Facilities4.60%
Life Sciences Tools & Services3.60%
Other Specialized REITs 3.60%
Asset Management & Custody Banks3.00%
Alternative Carriers2.80%
Health Care Equipment2.70%
Casinos & Gaming1.40%
Investment Banking & Brokerage1.30%
04812162024
Financial Exchanges & Data21.50%
Property & Casualty Insurance18.80%
IT Consulting & Other Services9.50%
Application Software6.80%
Hotels, Resorts & Cruise Lines5.10%
Real Estate Services 5.00%
Life & Health Insurance4.70%
Leisure Facilities4.60%
Life Sciences Tools & Services3.60%
Other Specialized REITs 3.60%
Asset Management & Custody Banks3.00%
Alternative Carriers2.80%
Health Care Equipment2.70%
Casinos & Gaming1.40%
Investment Banking & Brokerage1.30%
04812162024
Portfolio CharacteristicsAs of 09/30/2024
Description | Baron Growth Fund | Russell 2000 Growth Index |
---|---|---|
Inception Date | December 31, 1994 | |
Net Assets | $7.59 billion | |
# of Issuers / % of Net Assets | 33 / 100.3% | |
Turnover (3 Year Average) | 0.98% | |
Active Share | 99.1% | |
Median Market Cap | $8.97 billion | $1.21 billion |
Weighted Average Market Cap | $23.73 billion | $4.18 billion |
Expense Ratio | 1.05% | |
Current Expense Ratio Date | 9/30/2023 | |
EPS Growth (3-5 year forecast) | 14.3% | 16.8% |
Price/Earnings Ratio (trailing 12-month) | 22.5 | 21.8 |
Price/Book Ratio | 4.0 | 3.8 |
Price/Sales Ratio | 5.0 | 1.8 |
The Net Assets include all share classes combined.
Price/Book Ratio and Price/Sales Ratio are calculated using the Weighted Harmonic Average. Source: FactSet PA. Internal valuation metrics may differ.
Price/Book Ratio and Price/Sales Ratio are calculated using the Weighted Harmonic Average. Source: FactSet PA. Internal valuation metrics may differ.
Distributions
Record Date | Ex Date | Payable Date | Income | Return of Capital | Short-Term Capital Gain | Long-Term Capital Gain | Total | Re-Invest NAV | Calendar-Year Return |
---|---|---|---|---|---|---|---|---|---|
12/06/2023 | 12/07/2023 | 12/08/2023 | $0.0000 | $0.0000 | $0.0000 | $1.7037 | $1.7037 | $95.70 | 14.97% |
07/24/2023 | 07/25/2023 | 07/26/2023 | $0.0000 | $0.0000 | $0.0000 | $0.0074 | $0.0074 | $103.34 | 14.97% |
12/07/2022 | 12/08/2022 | 12/09/2022 | $0.0000 | $0.0000 | $0.0000 | $5.1188 | $5.1188 | $93.22 | -22.40% |
11/22/2021 | 11/23/2021 | 11/24/2021 | $0.0000 | $0.0000 | $0.0000 | $8.9714 | $8.9714 | $119.58 | 20.15% |
07/28/2021 | 07/29/2021 | 07/30/2021 | $0.0000 | $0.0000 | $0.0000 | $0.0080 | $0.0080 | $121.89 | 20.15% |
For estimated distributions, visit the Tax Center
Investor Series
Baron Growth Fund: Long-Term Investing in Small Cap Growth Companies
Learn more about the investment approach for Baron Growth Fund.