Baron Funds: “We Retain Conviction in Progressive (PGR)’s Long-Term Prospects”

Baron Funds, an asset management firm, published its “Baron Fintech Fund” second quarter 2022 investor letter – a copy of which can be downloaded here. In the quarter ended June 30, 2022, Baron FinTech Fund (the “Fund”) fell 22.40% (Institutional Shares) compared with a 16.10% decline for the S&P 500 Index (the “Benchmark”) and a 22.80% decline for the FactSet Global FinTech Index (the “Index”). Since inception (December 31, 2019), the Fund has risen 3.81% on an annualized basis compared with an 8.27% gain for the Benchmark and a 5.25% decline for the FactSet Global FinTech Index. Go over the fund’s top 5 positions to have a glimpse of its finest picks for 2022.

In its Q2 2022 investor letter, Baron Fintech Fund mentioned The Progressive Corporation (NYSE:PGR) and explained its insights for the company. Founded in 1937, The Progressive Corporation (NYSE:PGR) is a Mayfield Village, Ohio-based insurance company with a $71.6 billion market capitalization. The Progressive Corporation (NYSE:PGR) delivered a 19.32% return since the beginning of the year, while its 12-month returns are up by 27.28%. The stock closed at $122.48 per share on September 06, 2022.

Here is what Wedgewood Partners has to say about The Progressive Corporation (NYSE:PGR) in its Q2 2022 investor letter:

“The Progressive Corporation is a leading property and casualty insurance company. Shares contributed during the period held after we took advantage of temporary weakness in the stock to build a position; shares subsequently rebounded, buoyed by strengthening market sentiment. We retain conviction in Progressive’s long-term prospects given its deep underwriting expertise, leading position in a hardening auto insurance market, and improving conditions for the insurance business overall.”

Our calculations show that The Progressive Corporation (NYSE:PGR) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. The Progressive Corporation (NYSE:PGR) was in 52 hedge fund portfolios at the end of the second quarter of 2022, compared to 52 funds in the previous quarter. The Progressive Corporation (NYSE:PGR) delivered a 2.01% return in the past 3 months.

In July 2022, we also shared another hedge fund’s views on The Progressive Corporation (NYSE:PGR) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q2 page.

Disclosure: None. This article is originally published at Insider Monkey.