The London Company, an investment management company, released “The London Company Mid Cap Strategy” first quarter 2023 investor letter. A copy of the same can be downloaded here. In the first quarter, the fund returned 6.5% gross, (6.4% net) compared to a 4.1% return for the Russell Midcap Index. The outperformance of the fund is due to strong stock selection and limited exposure to banks. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.
The London Company Mid Cap Strategy highlighted stocks like M&T Bank Corporation (NYSE:MTB) in the first quarter 2023 investor letter. Headquartered in Buffalo, New York, M&T Bank Corporation (NYSE:MTB) is a bank holding company. On June 30, 2023, M&T Bank Corporation (NYSE:MTB) stock closed at $123.76 per share. One-month return of M&T Bank Corporation (NYSE:MTB) was -1.46%, and its shares lost 22.51% of their value over the last 52 weeks. M&T Bank Corporation (NYSE:MTB) has a market capitalization of $20.528 billion.
The London Company Mid Cap Strategy made the following comment about M&T Bank Corporation (NYSE:MTB) in its first quarter 2023 investor letter:
“M&T Bank Corporation (NYSE:MTB)- MTB underperformed, along with other regional banks, on the failures of Silicon Valley Bank and Signature Bank and fear of broader contagion. Importantly, MTB has neither the same kind of client concentration risk nor duration risk that impacted Silicon Valley Bank. Particularly with respect to duration risk, MTB was an outlier in its conservatism with respect to buying shorter-term securities in a very low rate environment. MTB does have exposure to commercial real estate, including office real estate. While we do expect some elevated credit losses in this portion of the loan portfolio, we note MTB has historically been an effective manager of risk, and we remain confident that management has behaved with appropriate caution.”
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M&T Bank Corporation (NYSE:MTB) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 37 hedge fund portfolios held M&T Bank Corporation (NYSE:MTB) at the end of first quarter 2023 which was 42 in the previous quarter.
We discussed M&T Bank Corporation (NYSE:MTB) in another article and shared the list of biggest holding companies in USA. In addition, please check out our hedge fund investor letters Q1 2023 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
