Baron Discovery Fund recently published its second-quarter commentary – a copy of which can be downloaded here. During the second quarter of 2021, the Baron Discovery Fund returned 6.07% (institutional shares). In comparison, the benchmark S&P 500 Index was up 8.55%, while the Russell 2000 Growth Index was up 3.92%. You should check out Baron Discovery Fund’s top 5 stock picks for investors to buy right now, which could be the biggest winners of 2021.
In the Q2 2021 Investor Letter, the fund highlighted a few stocks and Zymergen Inc. (NASDAQ:ZY) is one of them. Zymergen Inc. (NASDAQ:ZY) operates as a biofacturing company. In the last three months, Zymergen Inc. (NASDAQ:ZY) stock lost 71%. Here is what the fund said:
“Zymergen Inc. is a synthetic biology company that uses microbes to create commercial materials used for products including electronics and consumer products. By using its own customized process that leverages biology, machine learning, and artificial intelligence, Zymergen can create materials never thought possible with standard chemical processes. Zymergen’s microbe-based processes also avoid the use of petroleum products currently used to create most plastics–so the company is highly ESG-oriented as well. In electronics, Zymergen just launched a specialized film for touch sensor screens that is clearer and more scratch resistant than current products, and it also works with folding phone screens. The company will add a new product soon, which is a similar film with higher temperature tolerance. On the consumer side, the company created a novel insect repellant, launching in a couple of years, that is expected to be safe and effective and potentially combined with sunscreen for easy UV and insect protection. The company is also working on other products including drought and insect resistant plant nutrients that are environmentally safe, and environmentally friendly product packaging solutions. We are excited about the company’s prospects. Since its product portfolio rollout is in the early stages, we have started with a small investment.”
The top 10 stocks among hedge funds returned 231.2% between 2015 and 2020, and outperformed the S&P 500 Index ETFs by more than 126 percentage points. We know it sounds unbelievable. You have been dismissing our articles about top hedge fund stocks mostly because you were fed biased information by other media outlets about hedge funds’ poor performance. You could have doubled the size of your nest egg by investing in the top hedge fund stocks instead of dumb S&P 500 ETFs. Here you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.
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