Summary

• Diamond Hill's Long-Short Strategy declined 4.72% (net of fees) compared to a 4.18% decline for the Russell 1000 Index and a 2.15% decline for the 60/40 Blended Benchmark.
• Diamond Hill's long positions in software businesses, including Microsoft, Salesforce and Adobe, were among the most notable detractors in the quarter.
• Chevron and Diamondback Energy saw shares rise as the sharp increase in oil prices drove a broad rally across US-based oil producers.
• Diamond Hill initiated a position in research and advisory firm Gartner as concerns around slowing revenue growth and potential disruption from AI created an opportunity to invest at an attractive valuation.
• Diamond Hill initiated a short position in Boot Barn as the company's future revenue growth will be challenged by its reliance on denim to drive comparable sales and worsening new store economics.

Quarterly Snapshot

Performance

The Strategy declined 4.72% (net of fees) compared to a 4.18% decline for the Russell 1000 Index and a 2.15% decline for the 60/40 Blended Benchmark.

Key Drivers

On the long side, stock selection in industrials and consumer

48 Followers