Baron Opportunity Fund
Symbol BIOIXCUSIP: 068278886
Symbol BIOIXCUSIP: 068278886
A
All-Cap GrowthNav
$48.18
Daily Change $0.58 (1.22%)
As of 11/01/2024
As of 11/01/2024
Net Assets
$1.36 B
As of 09/30/2024
Morningstar Rating™
As of 09/30/2024
Morningstar Medalist Rating™
GOLD
Inception date
02/29/2000
Prices & Performance
PricesAs of 11/01/2024
NAV | Daily Change ($) | Daily Change (%) | MTD | QTD | YTD |
---|---|---|---|---|---|
$48.18 | $0.58 | 1.22% | 1.22% | 2.34% | 28.24% |
NAV | $48.18 |
---|---|
Daily Change ($) | $0.58 |
Daily Change (%) | 1.22% |
MTD | 1.22% |
QTD | 2.34% |
YTD | 28.24% |
PerformanceAs of 09/30/2024
Portfolio or Index | QTD1 | YTD1 | 1 Year | 3 Years | 5 Years | 10 Years | Since Inception 02/29/2000 |
---|---|---|---|---|---|---|---|
BIOIX - Baron Opportunity Fund - I | 4.04% | 25.31% | 44.24% | 3.49% | 21.15% | 17.27% | 9.86% |
Russell 3000 Growth Index | 3.42% | 24.00% | 41.47% | 11.31% | 19.09% | 16.04% | 7.48% |
S&P 500 Index | 5.89% | 22.08% | 36.35% | 11.91% | 15.98% | 13.38% | 8.04% |
Performance InformationAs of 09/30/2024
Performance statistics | 3 Years | 5 Years | 10 Years |
---|---|---|---|
Standard Deviation (%) | 25.19 | 24.47 | 20.67 |
Sharpe Ratio | -0.01 | 0.77 | 0.75 |
Alpha (%) | -7.90 | 0.85 | 0.05 |
Beta | 1.15 | 1.09 | 1.10 |
R-Squared (%) | 89.23 | 83.85 | 83.73 |
Tracking Error (%) | 8.82 | 10.01 | 8.52 |
Information Ratio | -0.89 | 0.21 | 0.14 |
Upside Capture (%) | 97.62 | 107.12 | 109.08 |
Downside Capture (%) | 125.04 | 104.48 | 110.26 |
Except for Standard Deviation and Sharpe Ratio, the performance based-characteristics above were calculated relative to the Baron Opportunity Fund's(BIOIX) benchmark (Russell 3000 Growth Index). Performance statistics for additional periods will be provided on request. Source FactSet: SPAR.
Portfolio Holdings & Characteristics
HoldingsAs of 09/30/2024
Holding | Sector | % of Net Assets | |
---|---|---|---|
Microsoft Corporation Microsoft Corporation (MSFT) is a software company traditionally known for its Windows and Office products. Over the last five years, it has built a $120 billion-plus annual cloud business, including Office 365, CRM product Dynamics 365, and infrastructure-as-a-service product Azure. Over the past decade, Microsoft has transformed itself, refocusing the business on cloud computing and AI. Microsoft's commercial cloud business now represents over 56% of revenue and is growing around 25% year-on-year. Its moat is built on the wide reach of its sales channel, its diverse platform of software offerings, its hybrid cloud capabilities, and the high costs of switching away from its solutions, which tend to be mission critical for customers. We believe Microsoft will benefit from the growing adoption of cloud for years to come. | Information Technology | 12.2% | |
NVIDIA Corporation NVIDIA Corporation (NVDA) sells semiconductors, systems, and software for accelerated computing, gaming, and generative AI (GenAI). Computing demand has been doubling every one to two years, driven by electrification, digitization and the recent advancements in AI, yet supply growth has decelerated dramatically due to the slowdown in Moore's law. NVIDIA’s accelerated computing architecture enables continued growth in supply of computing through parallelization. We are at the tipping point of a new era in computing with NVIDIA at its epicenter as GenAI adoption grows. Given its leading market share in gaming, data centers, and autonomous machines, we believe NVIDIA can grow rapidly for years to come. | Information Technology | 11.5% | |
Amazon.com, Inc. Amazon.com, Inc. (AMZN) is an e-commerce pioneer, innovator, and market share leader with a relentless focus on providing value and convenience to its customers. Amazon also operates the industry-leading cloud infrastructure business Amazon Web Services (AWS). Amazon's market share of U.S. online retail sales is around 40%, while its share of global online retail sales is less than 5%. Amazon has many avenues for revenue growth, including consumer staples, apparel, international expansion, digital media offerings, private label, pharmacy services, advertising, and a better shopping experience powered by generative AI. Amazon also represents an opportunity to invest in the secular growth of cloud computing through AWS, a large, growing part of the business. | Consumer Discretionary | 6.7% | |
Meta Platforms, Inc. Meta Platforms, Inc. (META) owns Facebook, the world's largest social network, with over 3.0 billion monthly and over 2.1 billion daily active users. Instagram, Messenger, WhatsApp, and Oculus are also part of the Meta Platforms network, with over 3.9 billion total monthly unique users across Meta products. Meta owns unique social platforms with users that continue to demonstrate stickiness and high engagement. Advertisers want to be where users are, and Meta's ability to analyze, target, and show clear, demonstrable, and rising returns on investment makes the platform particularly attractive to them. We believe the company is still in the middle innings of monetizing its vast customer base, especially internationally. In addition, we see significant positive optionality from monetization opportunities in video, WhatsApp, business messaging, and generative AI features. | Communication Services | 5.2% | |
Apple Inc. Apple Inc. (AAPL) designs, manufactures, and markets consumer electronics, computer software, and online services. Its products include the iPhone, iPad, Mac personal computer, Apple smartwatch, Apple TV, and HomePod. It also offers advertising and app discovery services through its App Store. As the creator and owner of one of the largest and most popular consumer electronics platforms, Apple, in our view, is well positioned to benefit from the network effect that typically accrues to platform companies. It has a large and growing ecosystem, a trusted brand, and positive optionality through leveraging its large installed base to expand into additional consumer and enterprise services. We believe Apple trades at a discount to our estimate of its intrinsic value, with capital return and growth alleviating near-term trade and iPhone demand uncertainty. | Information Technology | 4.7% | |
Broadcom Inc. Broadcom Inc. (AVGO) designs, develops, and supplies a wide range of semiconductor and infrastructure software solutions. Its semiconductor devices serve broadband, networking, wireless, storage, and industrial markets while its software offerings focus on operational efficiency tools for large enterprises. Broadcom’s semiconductor portfolio is reaching an inflection point, driven by its AI solutions in networking and custom compute. We expect mid-single-digits growth for the rest of the semiconductor portfolio and low-single-digits growth for the legacy software offerings, driven by cost efficiencies, cross-selling, and servicing key enterprise accounts. Broadcom's product simplification and SaaS conversion strategy should drive expansion of its VMWare business as well. The company has best-in-class margins and cash flow, which it returns to shareholders. | Information Technology | 4.6% | |
Tesla, Inc. Tesla, Inc. (TSLA) manufactures electric vehicles, including a luxury sedan and CUV (S/X), a mid-sized luxury sedan and hatchback (3/Y), and pickup and semi-trucks. It is also ramping up internal battery cell production, energy solutions, and software offerings such as full self-driving and insurance. We expect Tesla will continue to grow its automotive business through international production capacity and product expansion. Tesla's vertical integration, technology innovation, brand, profitability, and growing supplier support offer unique and durable growth opportunities that are hard to replicate. In addition, Tesla's energy and software expertise is broadening the industrial opportunity to large and profitable revenue avenues that were previously locked in the legacy vehicle architecture, such as autonomous driving, robotics, insurance, and other AI use cases. | Consumer Discretionary | 4.5% | |
Space Exploration Technologies Corp. Space Exploration Technologies Corp. (SpaceX) designs, manufactures, and launches rockets, satellites, and spacecrafts. Its ultimate goal is to make humanity multi-planetary. Products include reusable orbital launch offerings and a broadband service leveraging its satellite constellation, Starlink. We believe SpaceX will continue to drive down the cost of space launches and capture market share with its unique, reliable, and improving reusable launch capabilities. As costs decline, we also expect demand for access to space to increase. By leveraging its launch cost leadership, vertical integration, and innovative design approach, we think SpaceX will have an advantage in building and operating its rapidly expanding satellite-based broadband services, creating an even more attractive growth profile for the company. | Industrials | 2.7% | |
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 | 2.6% | |
argenx SE Argenx SE (ARGX) is a biotechnology company developing antibodies for the treatment of autoimmune disorders. The company is in the early years of the commercial launch of its drug Vyvgart, which promises to change the treatment paradigm for a host of autoantibody immune disorders. Argenx's main product, efgartigimod, which treats a rare muscle weakness disorder, has potentially broad applicability in ameliorating overactive antibody-based diseases. Efgartigimod is a true "pipeline in a product," where the product itself is the platform, as it has the potential to be used against a diverse range of diseases – something that is rarely achieved in the biotechnology space. We expect the share price to increase as argenx proves its product’s effectiveness in multiple autoantibody disorders. | Health Care | 2.6% | |
Total Total | 57.2% |
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 |
---|---|---|
Tesla, Inc. | 4.07% | 1.08% |
Meta Platforms, Inc. | 4.82% | 0.73% |
Guidewire Software, Inc. | 2.02% | 0.64% |
argenx SE | 2.49% | 0.60% |
Arcellx, Inc. | 1.11% | 0.48% |
Source: FactSet PA.
GICS Sector BreakdownAs of 09/30/2024
Sector
Information Technology
57.9%
Consumer Discretionary
12.4%
Communication Services
9.7%
Health Care
8.5%
Financials
3.8%
Industrials
3.8%
Real Estate
2.6%
Cash & Cash Equivalents
0.9%
Materials
0.2%
Sub-Industry
09/30/2024Semiconductors21.20%
Systems Software15.50%
Application Software9.50%
Biotechnology6.80%
Broadline Retail 6.70%
Interactive Media & Services5.30%
Technology Hardware, Storage & Peripherals4.70%
Automobile Manufacturers4.50%
Transaction & Payment Processing Services 3.80%
Aerospace & Defense2.70%
IT Consulting & Other Services2.60%
Movies & Entertainment2.60%
Real Estate Services 2.60%
Internet Services & Infrastructure2.50%
Advertising1.90%
04812162024
Semiconductors21.20%
Systems Software15.50%
Application Software9.50%
Biotechnology6.80%
Broadline Retail 6.70%
Interactive Media & Services5.30%
Technology Hardware, Storage & Peripherals4.70%
Automobile Manufacturers4.50%
Transaction & Payment Processing Services 3.80%
Aerospace & Defense2.70%
IT Consulting & Other Services2.60%
Movies & Entertainment2.60%
Real Estate Services 2.60%
Internet Services & Infrastructure2.50%
Advertising1.90%
04812162024
Portfolio CharacteristicsAs of 09/30/2024
Description | Baron Opportunity Fund | Russell 3000 Growth Index |
---|---|---|
Inception Date | February 29, 2000 | |
Net Assets | $1.36 billion | |
# of Issuers / % of Net Assets | 43 / 99.1% | |
Turnover (3 Year Average) | 28.91% | |
Active Share | 52.5% | |
Median Market Cap | $41.46 billion | $2.07 billion |
Weighted Average Market Cap | $1.26 trillion | $1.50 trillion |
Expense Ratio | 1.06% | |
Current Expense Ratio Date | 9/30/2023 | |
EPS Growth (3-5 year forecast) | 21.6% | 18.8% |
Price/Earnings Ratio (trailing 12-month) | 42.5 | 35.1 |
Price/Book Ratio | 8.7 | 8.7 |
Price/Sales Ratio | 8.7 | 4.8 |
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 |
---|---|---|---|---|---|---|---|---|---|
11/22/2021 | 11/23/2021 | 11/24/2021 | $0.0000 | $0.0000 | $2.0076 | $1.5956 | $3.6032 | $45.39 | 12.29% |
11/23/2020 | 11/24/2020 | 11/25/2020 | $0.0000 | $0.0000 | $0.1878 | $2.5970 | $2.7848 | $37.38 | 89.28% |
11/25/2019 | 11/26/2019 | 11/27/2019 | $0.0000 | $0.0000 | $0.0000 | $1.6760 | $1.6760 | $23.46 | |
11/28/2018 | 11/29/2018 | 11/30/2018 | $0.0000 | $0.0000 | $0.0000 | $0.9258 | $0.9258 | $19.85 | 8.35% |
11/27/2017 | 11/28/2017 | 11/29/2017 | $0.0000 | $0.0000 | $0.0000 | $2.6493 | $2.6493 | $17.54 | 40.88% |
For estimated distributions, visit the Tax Center
Investor Series
Baron Opportunity Fund: Investing in Sustainable Secular Trends in Innovation
Learn more about the investment approach for Baron Opportunity Fund.