RiverPark (Focused Value Fund) Q1 Investor Letter

RiverPark recently published investor letters to discuss performance of its funds – River Park Focused Value, River Park Growth Fund, River Park High Yield Fund, and River Park Opportunity Fund – for the first quarter of 2018. In the first quarter, the RiverPark Focused Value Fund returned -5.87% compared to the total return of -2.83% by the Russell 1000 Value Index and -0.76% by the S&P 500 Index.

David Berkowitz, the portfolio manager and co-chief investment officer, said in the letter:

Investment returns for the first quarter lagged on both an absolute and a relative basis. As discussed in previous letters, the degree of concentration in our portfolio has the potential to deliver significant performance deviations from our benchmarks. While our goal is to deliver strong absolute and relative performance over time, we understand that there will also be periods, like this quarter, where our performance lags. As has been our practice over time, we generally used price appreciation to reduce positions and price declines, in the absence of a change in our investment thesis, to add to positions. We believe our portfolio remains significantly undervalued and has the potential to deliver substantial absolute and relative returns from current levels.

Top five holding were Marathon Petroleum, Western Digital, Alliance Data Systems, Vistra Energy, and AerCap Holdings N.V.

You can download a copy of the letter here.