Davis Opportunity Fund
Overview
Investment Strategy
The goal of the Davis Opportunity Fund is to provide investors access to attractive investment opportunities across a range of market capitalizations, industries or sectors.
Using our signature Davis Investment Discipline, the Fund has outperformed the Russell 3000® Index in nine of the 13 years since Davis began managing the Fund.1 Click here to learn more about our long-term returns.
Why Invest in the Davis Opportunity Fund
Sixty Years of Experience
The Davis family has compounded wealth for investors over six decades and three generations.
Long-Term Investment Results
The Fund has outperformed the Russell 3000® Index in nine of the 13 years since Davis began managing the Fund. A hypothetical $10,000 investment in the Fund on January 1, 1999 compounded to over $20,524 as of December 31, 2011 vs. only $13,994 for the Russell 3000® Index.1
Aligned with Shareholders
With more than $2 billion invested side by side with fellow shareholders, we experience the same risks and reap the same rewards.2
Lower than Average Expense Ratio3
Davis Opportunity Fund A, 1.05%; Lipper category average, 1.22%
Lower than Average Turnover Rate3
Davis Opportunity Fund, 24%; Lipper category average, 65%
Performance as of 12/31/11
1) The Davis Opportunity Fund has outperformed the Russell 3000® Index in nine of the 13 years since Davis began managing the Fund.
| Total Returns as of December 31, 2011 |
1 Year |
5 Years |
10 Years |
|---|---|---|---|
|
Davis Opportunity Fund Class A Shares with a maximum 4.75% sales charge |
-8.22% | -3.77% | 3.79% |
The performance presented represents past performance and is not a guarantee of future results. Total return assumes reinvestment of dividends and capital gain distributions. Investment return and principal value will vary so that, when redeemed, an investor’s shares may be worth more or less than their original cost. The total annual operating expense ratio for Class A shares as of the most recent prospectus was 1.05%. The total annual operating expense ratio may vary in future years. Returns and expenses for other classes of shares will vary. Current performance may be higher or lower than the performance quoted. For most recent month-end performance, click here or call 800.279.0279.
2) A hypothetical $10,000 investment in the Davis Opportunity Fund on 1/1/99 compounded to $20,524 by December 31, 2011 vs. only $13,994 for the Russell 3000® Index.
Portfolio Characteristics as of 12/31/11
Market Capitalization
Portfolio Composition
| Opportunity Fund | Russell 3000® | |
|---|---|---|
| Forecast P/E Ratio | 13.7 | 13.0 |
| P/B Ratio | 3.3 | 3.2 |
| Weighted Average Market Cap ($bn) | 78.2 | 78.4 |
| Beta (3 year) | 0.9 | 1.0 |
| Standard Deviation (5 year, A shares) | 19.9 | 19.6 |
| Number of Holdings | 66 | 2946 |
Morningstar
| 10 Year Rating | Stewardship Grade |
|---|---|
 |
A |
Large Growth funds for the 10 year period (804 funds in the category). Based on risk-adjusted returns. See endnotes.
Turnover and Expenses
| Opportunity Fund | Lipper Category Average | |
|---|---|---|
| Turnover Rate3 | 24% | 65% |
| Expense Ratio3 (A Shares) | 1.05% | 1.22% |
Top 10 Holdings
| Google Inc. Class A | 7.2% |
| Oaktree Capital Group | 5.6% |
| Walt Disney Holdings | 4.3% |
| Coca Cola Co. | 3.7% |
| CVS Caremark Corp. | 3.3% |
| Berkshire Hathaway Inc., Class B | 3.2% |
| Wells Fargo & Co. | 3.0% |
| Microsoft Corp. | 2.6% |
| Nielsen Holdings B.V. | 2.6% |
| Sigma-Aldrich Corp. | 2.3% |
Top 5 Industries
| Technology | 20.2% |
| Diversified Financials | 9.8% |
| Capital Goods | 8.7% |
| Insurance | 7.7% |
| Pharmaceutical & Health Care | 5.8% |
Literature
| Fact Sheets | ||
|---|---|---|
| Fund Fact Sheet | Download Share | How the Fund applies the Davis Investment Discipline to companies of various market capitalizations, Portfolio characteristics, top holdings, and performance. |
| Important Facts | Download Share | Goals of the Fund, what we look for in a business, our consistent long-term performance, below-average expenses, and alignment with shareholder interests. |
| Unique Characteristics | Download Share | Specific attributes of the Fund, profiles of potential investors and the role the Fund can play in various asset allocation strategies. |
| Portfolio Composition | Download Share | Quarterly update of portfolio characteristics. |
| Portfolio Manager Commentary | ||
| Manager Commentary - Annual Review 2012 | Download View Share | The Fund research team discusses the Portfolio, performance and how they apply the Davis Investment Discipline to uncover opportunities in the current environment. |
This material must be accompanied or preceded by a current Davis Opportunity Fund Prospectus. You should carefully consider the Fund’s investment objective, risks, charges, and expenses before investing. The prospectus contains this and other information and can be obtained by clicking here or calling 800.279.0279. Read the prospectus carefully before you invest or send money.
1Class A shares, not including a sales charge. Davis began managing the fund on 1/1/99. Past performance is not a guarantee of future results.
2As of December 31, 2011.
3See Expense ratio/Turnover link below.
(17) Read here for objective/risk disclosures
(18) Read here for Morningstar disclosures
(19) Read here for Expense ratio/Turnover disclosures
Davis Distributors, LLC, 2949 East Elvira Road, Suite 101, Tucson, AZ 85756