ClearBridge Investments Reduced Stake in Alibaba (BABA) for ‘Greater Stability’

ClearBridge Investments, an investment management company, released its “ClearBridge Large Cap Growth Strategy” second quarter 2022 investor letter. A copy of the same can be downloaded here. The second quarter was difficult for growth funds, and the fund underperformed the benchmark index. Only the consumer staples sector contributed positively to the fund’s performance. To know about the fund’s best picks in 2022, please check its top 5 holdings.

In the second quarter, ClearBridge Large Cap Growth Strategy reduced its stake in Alibaba Group Holding Limited (NYSE:BABA). Alibaba Group Holding Limited (NYSE:BABA) is based in Hangzhou, the People’s Republic of China, and has a market capitalization of $250.713 billion. The stock of Alibaba Group Holding Limited (NYSE:BABA) closed at $92.56 per share on August 5, 2022. Alibaba Group Holding Limited (NYSE:BABA) had a return of -23.44% for the past month whereas its 12-month returns plunged to -52.87%

Here is what ClearBridge Large Cap Growth Strategy specifically said about Alibaba Group Holding Limited (NYSE:BABA) in its Q2 2022 investor’s letter:

“After seeding the portfolio with select growth companies in the second half of 2020 and 2021, we have redirected our focus over the last several quarters to risk management. Moves during the second quarter in pursuit of greater stability included reducing consumer discretionary exposure with the sales of Chinese e-commerce and payments provider Alibaba Group Holding Limited (NYSE:BABA).”

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Alibaba Group Holding Limited (NYSE:BABA) is in 19th position in the list of 30 Most Popular Stocks Among Hedge Funds. At the end of the first quarter, Alibaba Group Holding Limited (NYSE:BABA) was in 100 hedge fund portfolios up from 96 in the previous quarter.

We discussed Alibaba Group Holding Limited (NYSE:BABA) in another article and shared Artisan Partners’ views on the company. If you want to read more investor letters from hedge funds and other leading investors, check out our hedge fund investor letters Q2 2022 page.

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

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