Oakmark is the mutual fund family launched in 1991 by Harris Associates, the Chicago deep-value firm founded in 1976 (about $105bn AUM). Bill Nygren runs the flagship Oakmark Fund and David Herro the Oakmark International Fund, buying businesses at large discounts to intrinsic value and holding them like owners — publishing quarterly fund commentaries, market commentaries and insight articles.
This report shows how Oakmark Fund performed over 26 years (1991–2017) to prove that buying undervalued stocks and holding them long-term works. For regular investors, the key takeaway is not to chase short-term gains (like 24% in one year) but focus on long-term averages (12.78% annualized). The fund also has low fees (0.89%), which saves money over time. It’s worth reading because real data shows patience and low costs beat frequent trading.
Oakmark Fund (Investor Class) investment return data as of March 31, 2017 shows an annualized return of 12.78% since its inception on August 5, 1991, with returns of 8.97%, 13.88%, 23.99%, and 4.11% over the past 10 years, 5 years, 1 year, and 3 months, respectively. The report's core argument empha
This section presents the long-term investment performance data of the Oakmark Fund (Investor Class) as of March 31, 2017, aiming to validate the effectiveness of its value investing strategy across 26 years of market cycles. By comparing returns over different time horizons, the report emphasizes the core logic of long-term holding and selecting undervalued assets.
The author’s central investment argument is that a long-term value investing strategy can navigate market volatility and deliver consistent excess returns. The counterintuitive insight is that, despite the 1-year return (23.99%) being significantly higher than the long-term average, the author believes this is not due to short-term market timing but rather the inevitable outcome of holding undervalued assets over the long term.
| Time Horizon | Annualized Return | Market Context |
|---|---|---|
| Since Inception (26 years) | 12.78% | Covers multiple bull and bear cycles |
| Last 10 Years | 8.97% | Includes the 2008 financial crisis and subsequent recovery |
| Last 5 Years | 13.88% | Prolonged U.S. stock bull market |
| Last 1 Year | 23.99% | Market rally following Trump’s election |
| Last 3 Months | 4.11% | Market volatility in Q1 2017 |
This section does not mention specific holdings; the analysis focuses solely on the fund’s overall performance. The core asset class is U.S. equities, with a strategy centered on high-quality companies undervalued by the market.