Blue Chip Growth Fund
Quick Facts
| Investor | Institutional | |
| Ticker: | BUFEX | BUIEX |
| Daily Pricing: | ||
| As of 11/20/2024 | ||
| NAV: | $55.35 | $55.74 |
| $ Change: | $-0.07 | $-0.06 |
| % Change: |
-0.13% | -0.11% |
| YTD: |
27.59% | 27.76% |
| Inception Date: | 5/19/1995 | 7/1/2019 |
| Expense Ratio: | 0.89% | 0.79% |
| Total Net Assets: | $149.23 Million (9/30/24) | |
| Morningstar Category: | Large Cap Growth | |
| Benchmark Index: | Russell 1000 Growth | |
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Related Material: Fund Fact Sheet Q3 2024 PM Commentary Q3 2024 |
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Fund Objective & Investment Philosophy
The investment objective of the Buffalo Blue Chip Growth Fund is long-term growth of capital. The Fund normally invests in equity securities, consisting of common stocks, preferred stocks, convertible securities, warrants and rights of large capitalization (“large-cap”) companies. The Fund considers a company to be a large-cap company if, at time of purchase by the Fund, it has a market capitalization greater than or equal to the lesser of (1) $10 billion, or (2) the median market capitalization of the Russell 1000 Growth Index. The median market capitalization of the Russell 1000 Growth Index changes due to market conditions and also changes with the composition of the Index.
The Fund managers seek to identify companies for the Fund’s portfolio that are expected to experience growth based on the identification of long-term, measurable secular trends, and which, as a result, the managers believe may have potential revenue growth in excess of the gross domestic product growth rate.
Companies are screened using in-depth, in-house research to identify those which the managers believe have favorable attributes, including attractive valuation, strong management, conservative debt, free cash flow, scalable business models, and competitive advantages.
We don’t manage to our benchmark so we don’t have too much concentration in any one single trend. We also manage based on valuation, trimming positions when they approach their potential upside and adding to them as they get closer to the potential downside.
Ken Laudan, Portfolio Manager
Morningstar Ratings
Overall Morningstar Rating™ of BUFEX based on risk-adjusted returns among 1,073 Large Growth funds as of 10/31/24.
Performance (%)
| As of 10/31/24 | 3 MO | YTD | 1 YR | 3 YR | 5 YR | 10 YR | 15 YR | 20 YR | Since Inception |
|---|---|---|---|---|---|---|---|---|---|
| BUFFALO BLUE CHIP GROWTH FUND - Investor | 3.22 | 22.75 | 39.77 | 7.76 | 16.04 | 14.53 | 14.47 | 11.13 | 10.83 |
| BUFFALO BLUE CHIP GROWTH FUND - Institutional | 3.25 | 22.90 | 39.95 | 7.90 | 16.20 | 14.69 | 14.64 | 11.30 | 11.00 |
| Russell 1000 Growth Index | 4.63 | 24.14 | 43.77 | 8.84 | 19.00 | 16.18 | 16.60 | 12.56 | 11.05 |
| Lipper Large Cap Growth Fund Index | 4.05 | 23.54 | 43.53 | 6.14 | 16.84 | 14.35 | 14.85 | 11.18 | 9.79 |
| As of 9/30/24 | 3 MO | YTD | 1 YR | 3 YR | 5 YR | 10 YR | 15 YR | 20 YR | Since Inception |
|---|---|---|---|---|---|---|---|---|---|
| BUFFALO BLUE CHIP GROWTH FUND - Investor | 2.03 | 23.72 | 40.47 | 10.51 | 16.74 | 14.86 | 14.31 | 11.30 | 10.90 |
| BUFFALO BLUE CHIP GROWTH FUND - Institutional | 2.06 | 23.86 | 40.64 | 10.66 | 16.90 | 15.03 | 14.47 | 11.47 | 11.06 |
| Russell 1000 Growth Index | 3.19 | 24.55 | 42.19 | 12.02 | 19.74 | 16.52 | 16.52 | 12.67 | 11.10 |
| Lipper Large Cap Growth Fund Index | 2.59 | 23.89 | 41.53 | 8.65 | 17.46 | 14.71 | 14.71 | 11.26 | 9.83 |
| 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| BUFFALO BLUE CHIP GROWTH FUND - Investor | 32.76 | 12.76 | 7.15 | 6.90 | 24.86 | -1.63 | 31.77 | 28.08 | 26.08 | -28.61 | 40.39 |
| BUFFALO BLUE CHIP GROWTH FUND - Institutional | 32.96 | 12.92 | 7.31 | 7.06 | 25.05 | -1.48 | 31.98 | 28.28 | 26.27 | -28.51 | 40.52 |
| Russell 1000 Growth Index | 33.48 | 13.05 | 5.67 | 7.08 | 30.21 | -1.51 | 36.39 | 38.49 | 27.60 | -29.14 | 42.68 |
3 Year Risk Metrics
| BUFEX vs Russell 1000 Growth Index (As of 9/30/24) | |
|---|---|
| Upside Capture | 85.41 |
| Downside Capture | 94.34 |
| Alpha | -0.52 |
| Beta | 0.91 |
| Sharpe Ratio | 0.36 |
Hypothetical Growth of $10,000
Portfolio
Portfolio Characteristics
| (As of 9/30/24) | |
|---|---|
| # of Holdings | 76 |
| Median Market Cap | $132.8 B |
| Weighted Average Market Cap | $1430.4 B |
| 3-Yr Annualized Turnover Ratio | 44.48% |
| % of Holdings with Free Cash Flow | 93.42% |
| Active Share | 35.44% |
Top 10 Holdings
| Name of Holding | Ticker | Sector | % of Net Assets |
|---|---|---|---|
| Microsoft Corporation | MSFT | Information Technology | 11.33 |
| NVIDIA Corporation | NVDA | Information Technology | 9.15 |
| Apple, Inc. | AAPL | Information Technology | 8.39 |
| Alphabet, Inc. | GOOGL | Communication Services | 6.48 |
| Amazon.com, Inc. | AMZN | Consumer Discretionary | 6.16 |
| Meta Platforms, Inc. | META | Communication Services | 3.18 |
| Eli Lilly and Company | LLY | Health Care | 2.51 |
| Broadcom, Inc. | AVGO | Information Technology | 2.15 |
| Visa, Inc. | V | Financials | 2.02 |
| Costco Wholesale Corporation | COST | Consumer Staples | 1.76 |
| TOP 10 HOLDINGS TOTAL | 53.14% | ||
Sector Weighting
As of 9/30/24. Security weightings are subject to change and are not recommendations to buy or sell any securities. Sector Allocation may not equal 100% due to rounding.
Market Capitalization
As of 9/30/24. Market Cap percentages may not equal 100% due to rounding.
Management
Commentary
The opinions expressed are those of the Portfolio Manager(s) and are subject to change, are not guaranteed and should not be considered recommendations to buy or sell any security. Earnings growth is not representative of the fund’s future performance.
Literature
| Buffalo Blue Chip Growth Fund Documents | Last Updated |
|---|---|
| Fact Sheet | 9/30/24 |
| Quarterly Commentary | 9/30/24 |
| Full Fund Holdings | 6/30/24 |
| Prospectus | 7/29/24 |
| Statement of Additional Information | 7/29/24 |
| Annual Report | 3/31/24 |
| Semi-Annual Report | 9/30/23 |
| Tax Guide - 2023 | 1/8/24 |
Fundamental Approach
We get to know the companies we invest in and learn how they run their business.
Top-Down & Bottom-Up
We identify Top-Down broad, secular growth trends and search for companies from the Bottom-Up.
Proprietary Philosophy
We construct our portfolios based on our own proprietary investment strategy.
Disciplined Investing
Sticking to our disciplined investment strategy ensures we maintain a consistent, balanced approach.
Morningstar Rating™
The Morningstar Rating™ for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The Morningstar Rating does not include any adjustment for sales loads. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating™ for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating™ metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods.
©2024 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
The Buffalo Blue Chip Growth Fund received 4 stars among 1,073 for the 3-year, 3 stars among 1,006 for the 5-year, and 4 stars among 790 Large Growth funds for the 10-year period ending 10/31/24. Other share classes may have different performance characteristics.