Renaissance Technologies, the hedge fund founded by legendary mathematician and former National Security Agency code breaker Jim Simons, recently disclosed its latest stock holdings in a 13F filing with the U.S. Securities and Exchange Commission on Aug. 9.
What Happened: The filing reveals significant changes in the fund’s portfolio, reflecting the quantitative strategies that have made Renaissance one of the most successful hedge funds in history.
Leading the pack is Novo Nordisk A/S NVO, a Danish pharmaceutical giant, which accounts for 2.22% of Renaissance’s portfolio with a market value of $1.3 billion. Despite a 15.03% reduction in shares, NVO remains the fund’s top holding.
In a notable shift, Palantir Technologies Inc. PLTR ranks second, comprising 1.70% of the portfolio. However, Renaissance decreased its PLTR position by 16.56%, signaling a potential reassessment of the data analytics firm’s prospects.
NVIDIA Corp. NVDA, a leader in AI and graphics processing, saw a significant increase in Renaissance’s holdings. The fund boosted its NVDA shares by 27.52%, making it the third-largest position at 1.47% of the portfolio.
Other top holdings include Vertex Pharmaceuticals Incorporated VRTX and United Therapeutics Corporation UTHR, underscoring Renaissance’s interest in the healthcare sector.
Meta Platforms Inc. META saw a significant reduction of 33.39% in shares held, now representing 0.89% of the portfolio. Airbnb, Inc. ABNB also experienced a substantial decrease of 23.11%, accounting for 0.87% of Renaissance’s holdings with a market value of $515.76 million.
Notably, Broadcom Inc. AVGO appears as a new position in the portfolio, claiming the ninth spot with 0.80% of total holdings and a market value of $472.21 million.
Tesla Inc. TSLA completes the top 10, with Renaissance increasing its stake by 14.20%. TSLA now represents 0.69% of the portfolio, valued at $405.94 million.
Why It Matters: This latest 13F offers a glimpse into the investment strategies of Renaissance Technologies, now led by CEO Peter Brown following the recent passing of Simons. The fund continues to leverage complex mathematical models and algorithmic trading, an approach pioneered by Simons that has consistently outperformed traditional investment methods.
Renaissance’s Medallion Fund, renowned for its exceptional performance, has delivered annual returns of 62% (37% after fees) between 1988 and 2021. This track record has solidified Simons’ legacy as one of the greatest investors of all time, surpassing even Warren Buffett in terms of returns.
At the time of his death, Simons’ net worth was estimated at $31.4 billion, according to Forbes. His legacy extends beyond finance, with significant philanthropic contributions to mathematics and science education. Notably, in 1964, Simons took a highly classified position at the Institute for Defense Analyses, supporting the NSA in cracking Soviet codes and ciphers.
Read Next:
Image Via Shutterstock
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editor
Market News and Data brought to you by Benzinga APIs
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.