GoodHaven Fund · NASDAQ:GOODX
GoodHaven Fund — GoodHaven Capital Management — Investor Presentation (April 2023)
20 slides from GoodHaven Fund's investor presentation, April 2023
Slide 1: GoodHaven Capital Management, LLC
GoodHaven Capital Management, LLC Concentrated Value Investing in Quality Businesses April 2023 Investor Presentation Private & Confidential
Slide 2: Portfolio Overview
Portfolio Overview GoodHaven Fund • Concentrated Holdings • Above market growth • Below market valuation GoodHaven Fund S&P 500 Index Concentration # of Positions 24 503 Growth Rate 5 Yr EPS Growth Rate 15.6% 11.2% (2018 to 2023E) Attractive Valuation 2023 P/E Ratio 13.7x 18.7x 2 See pages 17-20 for
Slide 3: Investment Philosophy
Investment Philosophy GoodHaven has a track record of delivering attractive returns through a repeatable investment process and investing in quality businesses. Concentrated Portfolio Focus in the highest conviction ideas with a private equity investment holding period, generally greater than 2-3 ye
Slide 4: Portfolio Manager
Portfolio Manager GoodHaven is led by Larry Pitkowsky, an industry veteran with over 30+ years of investment management experience. Leadership ▪ Co-founded GoodHaven Capital Management in 2011, a registered investment advisor providing investment management services to individuals, institutions, and
Slide 5: Markel Corp – A Strategic Partner
Markel Corp – A Strategic Partner Markel Corp is GoodHaven’s minority partner and largest investor • "When it went public in 1986, it was an obscure specialty insurer with a market value of about $40 million. The Markel family, which founded the firm in 1930, hired Gayner to help them replicate Berk
Slide 6: Investment Process
Investment Process Situation Analysis Valuation Investment Decision • Variant perceptions on the • Assessing the level of • Look at each investment business and industry discount to a range of holistically with existing possibilities of intrinsic positions in the portfolio • Behavioral factors such
Slide 7: Portfolio Themes
Portfolio Themes • Secular tailwinds in the shift towards digital Advertising & advertising Social Media • Largest firms have significant network effects and competitive advantages, with high barriers-to-entry • Accelerating demographic changes in the US Industrials/ producing strong underlying hous
Slide 8: Portfolio Construction
Portfolio Construction Concentrated Portfolio (15 – 25 positions) Opportunistic / Special High Quality Companies & Compounders Situations 0 – 20% 80% – 100% Criteria: Criteria: • Asymmetric risk/reward and • Durable competitive advantages outsized return potential • Long runway for profitable • Unde
Slide 9: Portfolio Analytics
Portfolio Analytics Portfolio Turnover Average Cash Balance Launch of Launch of 40% GoodHaven 2.0 35% GoodHaven 2.0 35% 30% 30% Avg. Turnover 25% 25% Since Inception: 20% ~15.2% 20% Avg. Cash 15% 15% Since Inception: 11.3% 10% ~20.6% 10% 5% 3% 5% 0% 0% GoodHaven Fund Turnover Average Since Inception
Slide 10: Consider Our Advantages
Consider Our Advantages Deep Experience ▪ Well-known investment manager with a documented history of success through many cycles. ▪ Focus on deep research and gaining variant perceptions on specific Strategy businesses rather than trying to predict the economy or the stock market. ▪ Good opportuniti
Slide 11: About the Firm
About the Firm ▪ Originally founded in 2011 by Larry Pitkowsky and Keith Trauner, with the backing of Markel Corporation, controlled solely by Larry Pitkowsky Summary since December 2019 ▪ GoodHaven is a registered investment advisor currently managing approximately $195 million in assets ▪ Majority
Slide 12: GoodHaven Fund Holdings
GoodHaven Fund Holdings Our Top Ten Positions as of February 28, 2023: Security Ownership % Holding # of Years Berkshire Hathaway – Class B 14.1% 11.9 Alphabet Inc.– Class C 8.8% 11.9 Jefferies Financial Group Inc. 8.5% 11.6 Builders FirstSource, Inc. 7.8% 6.0 Exor NV 5.2% 3.0 The Progressive Corp.
Slide 13: Performance Slide
Performance Slide Performance as of March 31, 2023 Annualized YTD 1YR 2YR 3YR 5YR 10YR Since Inception1 GoodHaven 7.33% -2.18% 8.09% 24.65% 8.83% 3.80% 5.85% Fund Would luv to add the comments on category kings on page 2 of 2020 annual… S&P 500 7.50% -7.33% 3.28% 18.60% 11.19% 12.24% 12.07% Per Morn
Slide 14: Service Providers
Service Providers Service Providers Custodian US Bank Distributor Quasar Distributors Legal Blank Rome LLP Accounting Tait, Weller, & Baker LLP Technology/IT Olmec Systems 14
Slide 15: Organizational Chart
Organizational Chart Larry Pitkowsky Managing Partner & Portfolio Manager Artie Kwok David Gresser Linda Baxter Bernadette Lynn Iacona Managing Director Director of Operations Director of Client Special Project Murphy & Senior Analyst Services Consultant Chief Compliance Officer 15
Slide 16: Contact Information
Contact Information GoodHaven Capital Management, LLC 374 Millburn Avenue Suite 306 Millburn, NJ 07041 (305) 677-7650 | info@goodhavenllc.com www.goodhavenllc.com www.goodhavenfunds.com 16
Slide 17: General Disclosure
General Disclosure This document is for the confidential use of the original recipient and its dissemination to third parties or to any public forum without GoodHaven’s express written consent is strictly forbidden. It is intended for sophisticated investors only. GoodHaven Capital Management, LLC i
Slide 18: End Notes
End Notes The GoodHaven Fund’s investment objectives, risks, charges, and expenses must be considered carefully before investing. The statutory and summary prospectuses contain this and other information about the investment company, and may be obtained by calling 1-855-OK-GOODX (1-855-654-6639) or
Slide 19: End Notes
End Notes These weightings do not necessarily reflect current recommendations and are not selected based on profitability. It should not be assumed that any recommendations made in the future will be profitable or will equal the performance made on recommendations included in this list. Past perform
Slide 20: Definitions
Definitions Sum-of-the-parts is defined as the process of aggregating the valuations of individual businesses of a company as if it were individual entities that were to spun off or sold to a different company. Comparable analysis is defined as a valuation process of using comparable valuation multi
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