Parnassus Endeavor’s sector positioning has been a significant headwind during the global equity sell-off that began near 2022’s start. For the year to date through March 15, the Institutional shares lost 9%, a bottom-decile result within the large-value Morningstar Category. It also trailed the Russell 1000 Value Index’s 4.5% decline. The strategy’s lack of energy exposure has hurt as those stocks have soared because of supply-issue fears surrounding the conflict in Ukraine. Given that Parnassus does not invest in fossil fuels because of its ESG focus, this underperformance is not surprising as almost 6% of the index is allocated to those companies. The strategy’s technology overweighting has also weighed on results as growthier fare has come under pressure to start the year as investors ponder the effects of the Federal Reserve’s looming monetary policy tightening.
Parnassus Endeavor Investor PARWX
NAV / 1-Day Return
41.82
/
1.51
%
Total Assets
4.2 Bil
Adj. Expense Ratio
0.880%
Expense Ratio
0.880%
Fee Level
Average
Longest Manager Tenure
4.40
years
Category
Large Value
Investment Style
Large ValueMin. Initial Investment
2,000
Status
Open
TTM Yield
1.83%
Turnover
37%
Morningstar’s Fund Analysis PARWX
Will PARWX outperform in future?
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Process Pillar
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People Pillar
The People Pillar is our evaluation of the PARWX management team’s experience and ability. We find that high-quality management teams deliver superior performance relative to their benchmarks and/or peers.
Parent Pillar
The Parent Pillar is our rating of PARWX’s parent organization’s priorities and whether they’re in line with investors’ interests.
Parnassus Endeavor’s Sector Positioning Has Hurt in Early 2022, but Ratings Unchanged
