SEC Filing Summary: Piper Jaffray & Co. (13F-HR)
Business Context and Reporting Period
This Form 13F-HR is a quarterly holdings report filed by Piper Jaffray & Co., an institutional investment manager based in Minneapolis, MN. The report covers the calendar quarter ended December 31, 2003. The filing discloses the manager's equity holdings in accordance with the Investment Company Act of 1940. The report was signed by Tim Carter, Controller.
Key Financial Metrics
As a 13F filing, this document reports portfolio holdings rather than the operating financials (revenue, profit, cash flow) of the manager itself. The following metrics represent the aggregate value of the reported portfolio:
- Total Portfolio Value: $382,528,000 (Reported as $382,528 in thousands).
- Total Number of Holdings: 1,372 distinct entries.
- Investment Discretion: The manager reported "Sole" voting authority for the vast majority of positions, with some instances of "Shared" authority.
- Asset Classes: The portfolio consists primarily of common stock (equity), with significant holdings in corporate notes (debt securities) and shares of beneficial interest in various funds (including ETFs and closed-end funds).
Material Changes and Portfolio Composition
The filing does not provide comparative data against the prior quarter (September 30, 2003) to calculate material changes in position size or total assets under management. However, the composition of the portfolio as of year-end 2003 reveals the following:
- Top Equity Holdings (by Value):
- Microsoft Corp: $5,948,000
- Cisco Systems Inc: $5,641,000
- Medtronic Inc: $6,084,000
- St. Jude Medical Inc: $5,688,000
- Starbucks Corp: $4,741,000
- General Electric Co: $4,514,000
- Exxon Mobil Corp: $4,644,000
- JLG Industries Inc: $4,094,000
- Significant Debt/Note Holdings:
- Transwitch Corp (5.450% Note): $8,992,000
- Cypress Semiconductor Corp (1.250% Note): $8,804,000
- E*Trade Financial Corp (6.750% Note): $12,246,000
- Alkermes Inc (2.500% Note): $6,798,000
- Index Fund Exposure: Significant allocation to iShares Trust (various sector and market cap indices) and SPDR Trusts.
Guidance, Outlook, and Risks
Guidance and Outlook: Form 13F filings are historical disclosures of holdings and do not contain forward-looking guidance, earnings projections, or management commentary regarding future market performance.
Risks and Contingencies: The filing does not explicitly list risk factors. However, the portfolio composition indicates exposure to:
- Technology Sector Concentration: Heavy weighting in major technology firms (Microsoft, Cisco, Intel, Dell) and semiconductor companies.
- Healthcare Sector Concentration: Significant positions in medical device and pharmaceutical companies (Medtronic, St. Jude Medical, Pfizer, Merck).
- Fixed Income Risk: Substantial holdings in corporate notes, exposing the portfolio to interest rate and credit risk.
Investor Verification Checklist
- Verify the total portfolio value of $382.5 million against the firm's total Assets Under Management (AUM) to determine if this report represents the entire firm or a specific segment.
- Confirm the "Sole" vs. "Shared" voting authority status for specific high-value positions to understand the firm's actual control over corporate governance.
- Review the specific corporate note holdings (e.g., Transwitch, E*Trade) to assess credit quality and maturity dates, as these are not standard equity positions.
- Compare the top 10 holdings against the S&P 500 or relevant benchmark indices to determine active vs. passive management style.
- Check subsequent 13F filings (Q1 2004) to identify any significant turnover or strategic shifts in the portfolio following the 2003 year-end.