Microsoft and JPMorgan Dominate David Katz's Value Fund Portfolio

Introduction

This analysis examines the investment strategy and holdings of David Katz's Matrix Advisors Value Fund as of December 31, 2025. The portfolio demonstrates a clear focus on large-cap technology and financial services companies, with significant allocations to specific sectors.

Top Holdings by Value

The fund's largest individual holding by value is Microsoft (MSFT), representing approximately $69 million or 6.2% of the total portfolio. Other significant holdings include Morgan Stanley (MS), JPMorgan Chase (JPM), Alphabet (GOOG), and Apple (AAPL), all contributing significantly to the portfolio's composition.

• MSFT: $69.02 million (6.2%)
• MS: $46.25 million (4.16%)
• JPM: $43.87 million (3.94%)
• GOOG: $49.46 million (4.45%)
• AAPL: $39.91 million (3.59%)

Sector Concentration

The portfolio exhibits a strong concentration in the Technology and Financial Services sectors. Technology companies, including Microsoft, Alphabet, and Apple, account for approximately 14.8% of the portfolio. Financial Services, encompassing holdings like Morgan Stanley, JPMorgan Chase, PNC Financial, and US Bancorp, make up about 18.5% of the portfolio. This indicates a strategic tilt towards established financial institutions and technology leaders.

Recent Changes in Holdings

Several holdings show notable changes compared to the previous period:

• MSFT: Shares increased by 0.55%, indicating continued confidence in this position.
• MAVF: The fund's own shares increased slightly by 0.16%.
• GOOG: Shares decreased by 1.86%, reflecting a reduction in exposure to Alphabet.
• MS: Shares decreased significantly by 2.95%, suggesting a strategic shift away from Morgan Stanley.
• QCOM: Qualcomm saw an increase of 0.24% in shares.
• MDT: Medtronic experienced a slight decrease of 0.29% in shares.

Strategic Implications

The portfolio's strategy appears to favor large, established companies with strong fundamentals, particularly within the technology and financial services sectors. The significant allocation to Financial Services suggests a belief in the resilience and profitability of the banking and financial sector. The Technology holdings, while less concentrated than Financial Services, still represent a substantial portion of the portfolio, indicating an optimistic view towards tech giants. The fund manager appears to be actively managing the portfolio, adjusting positions based on performance and market conditions, as evidenced by the changes in share counts for several holdings.

Conclusion

In summary, David Katz's Matrix Advisors Value Fund maintains a concentrated portfolio focused on large-cap technology and financial services companies. While the fund holds a diverse set of stocks, the significant allocations to specific sectors and holdings like Microsoft, JPMorgan, and Alphabet highlight key areas of conviction. The manager's active management is reflected in the recent adjustments to these positions.