New Hedge Fund Stakes
Davis Asset Management Diversifies Portfolio With New Stakes in Four Financial Firms
Key Points
FB Financial: In addition to Davis Asset Management L.P.'s new 619,236-share stake, several other large investors were active in FBK during the quarter, including Dimensional Fund Advisors LP (~2,000,484 shares), Vanguard Group Inc. (~3,018,224 shares), Northwestern Mutual Wealth Management Co. (~3,127,583 shares), Artemis Investment Management LLP, and UBS Group AG, with hedge funds and institutional investors collectively owning about 65.40% of FBK.
Merck KGaA: Davis Asset Management L.P. added 4,000 shares in MKGAF in the second quarter (about $514,000). The article notes that only about 0.10% of MKGAF stock is currently owned by institutional investors and hedge funds, indicating Davis’s new stake remains a relatively small portion of the overall ownership base.
Corebridge Financial: Davis opened a substantial new position in CRBG in Q2, acquiring 5,800,000 shares (roughly $166.054 million). The filing also notes insider activity, with EVP Elizabeth B. Cropper selling 7,745 CRBG shares on August 19, and that about 98.25% of CRBG stock is owned by hedge funds and other institutional investors.
CNO Financial Group: Davis Asset Management L.P. bought 950,000 shares in Q2 (about $32.024 million). The stock is highly institutionalized, with institutional investors owning 95.43% of the shares in aggregate, and the company opened at $53.40 in the period covered by the article.
Davis Asset Management L.P. deployed roughly $232.6 million across four financial stocks in the second quarter, signaling aggressive repositioning in the sector Watchlist News. The hedge fund's largest bet was a $166 million stake in Corebridge Financial (CRBG), representing 4.2% of its portfolio and ranking as its eighth-largest position Watchlist News.
Major Corebridge Financial Bet Signals Confidence
Davis acquired 5.8 million shares of Corebridge Financial worth approximately $166 million, making it a cornerstone holding Watchlist News. The position arrives as insiders mixed on the stock—EVP Elizabeth B. Cropper sold 7,745 shares on August 19 Watchlist News. Institutional investors own 98.25% of CRBG overall, indicating the company is dominated by large money managers Watchlist News.
The Corebridge stake reflects growing hedge fund activity in insurance and financial services plays mid-2026 Watchlist News. Davis's entry at this scale suggests confidence in the company's near-term direction despite mixed insider signals Watchlist News.
FB Financial and CNO Financial: Smaller but Meaningful Stakes
Davis bought 619,236 shares of FB Financial Corporation (FBK) for approximately $34.28 million, gaining 1.24% ownership Watchlist News. The bank stock is widely held—Vanguard owns 3 million shares, Northwestern Mutual holds 3.1 million, and hedge funds collectively own 65.4% Watchlist News. Davis also purchased 950,000 shares of CNO Financial Group for $32 million Ticker Report, entering a highly institutionalized stock where investors own 95.43% of shares Ticker Report.
Both positions underscore Davis's focus on financial services. CNO stock opened at $53.40 during the quarter covered Ticker Report. Together, the FBK and CNO stakes total roughly $66 million and complement the larger Corebridge play Watchlist News.
Merck KGaA Entry Remains a Minimal Footprint
Davis opened a small position in Merck KGaA (MKGAF) with just 4,000 shares worth $514,000 Watchlist News. The pharmaceutical stock is lightly held by institutions—only 0.10% of MKGAF is owned by hedge funds and institutional investors combined Watchlist News. Davis's entry suggests selective interest in the German pharma name, though scale remains minimal compared to financial bets Watchlist News.
Broader Hedge Fund Repositioning in Financial Services
Davis's Q2 filings reflect wider institutional movement into financial stocks during mid-2026 Watchlist News. Major asset managers like Dimensional Fund Advisors, Vanguard, and Northwestern Mutual were simultaneously active in FBK Watchlist News. The pattern shows consensus among large investors that financial services names warrant fresh capital allocation Watchlist News.
Davis also made smaller bets during the period, including a $1.5 million investment in MGM Resorts International Ticker Report and a stake in Timberland Bancorp Ticker Report. The fund's diversified approach—spanning insurance, community banking, regional finance, and hospitality—suggests a measured but confident bet that financial services will outperform in the coming quarters Watchlist News.
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