Strong Reasons to Hold RLI Corp. (RLI)

Investment management company First Pacific Advisors recently released its “FPA Queens Road Small Cap Value Fund” first quarter 2023 investor letter. A copy of the same can be downloaded here. In the first quarter, the fund returned 0.70% compared to a -0.66% return for the Russell 2000 Value Index. The firm expects the fund to outperform in down markets and trail in speculative markets.  In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.

FPA Queens Road Small Cap Value Fund highlighted stocks like RLI Corp. (NYSE:RLI) in the first quarter 2023 investor letter. Headquartered in Peoria, Illinois, RLI Corp. (NYSE:RLI) is an insurance holding company. On May 3, 2023, RLI Corp. (NYSE:RLI) stock closed at $139.48 per share. One-month return of RLI Corp. (NYSE:RLI) was 6.51%, and its shares gained 19.62% of their value over the last 52 weeks. RLI Corp. (NYSE:RLI) has a market capitalization of $6.354 billion.

FPA Queens Road Small Cap Value Fund made the following comment about RLI Corp. (NYSE:RLI) in its Q1 2023 investor letter:

“RLI Corp. (NYSE:RLI) is a high-quality specialty insurer with a collection of niche and arcane lines across property & casualty (P&C). We believe RLI has an attractive combined ratio and return on equity, a conservative underwriting culture and growth opportunities. Despite its full price, we continue to hold RLI because of its high quality and our reluctance to trade in and out. The insurance sector as a whole performed well last year, but RLI got a boost from strong third quarter 2022 earnings and the sale of its equity stake in sunglass manufacturer Maui Jim.”

RLI Corp. (NYSE:RLI) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 19 hedge fund portfolios held RLI Corp. (NYSE:RLI) at the end of the fourth quarter which was 22 in the previous quarter.

We discussed RLI Corp. (NYSE:RLI) in another article and shared the list of under-the-radar dividend champions to consider. In addition, please check out our hedge fund investor letters Q1 2023 page for more investor letters from hedge funds and other leading investors.

Suggested Articles:

• 25 Largest VC Backed Companies In The US in 2023
• 25 Best Cities for Singles in the U.S.
• 15 Best Dividend Stocks of 2023

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