SEC Filing Summary: Westwood Holdings Group Inc.
Business Context and Reporting Period
This filing is a Form 13F Information Table submitted by Westwood Holdings Group Inc. for the reporting period ending June 30, 2019. The document discloses the investment manager's holdings of equity securities and certain other securities as of the end of the quarter. It does not contain financial statements regarding Westwood Holdings Group's own operations, revenue, or profitability.
Key Financial Metrics and Portfolio Composition
The filing details a diversified portfolio consisting of common stocks, convertible bonds, preferred shares, and exchange-traded funds (ETFs). Key portfolio characteristics include:
- Asset Classes: The portfolio is heavily weighted toward U.S. equities, with significant allocations to Energy MLPs (Master Limited Partnerships), REITs, and Convertible Bonds.
- Top Equity Holdings (by Value):
- AT&T Inc.: $197,170,000 (5,883,909 shares)
- Bank of America Corp: $197,220,000 (6,800,705 shares)
- Johnson & Johnson: $169,705,000 (1,218,443 shares)
- JPMorgan Chase & Co: $166,384,000 (1,488,246 shares)
- Home Depot Inc: $164,675,000 (791,814 shares)
- Convertible Bond Exposure: Significant principal amounts are held in convertible debt, including Teva Pharmaceutical ($29,005,000), Medicines Company ($31,570,000), and Tesla Inc. (multiple tranches totaling approx. $37.5M).
- Energy & MLPs: Notable positions include Enterprise Products Partners ($60,871,000), Williams Cos Inc ($38,316,000), and Callon Petroleum ($41,172,000).
- ETF Holdings: The portfolio utilizes broad market ETFs, including iShares Core MSCI EAFE ETF ($126,776,000) and iShares 0-5 Year High Yield Corp ETF ($39,207,000).
Material Changes and Voting Authority
As a quarterly snapshot, this filing does not provide comparative data against the prior period (March 31, 2019) to calculate material changes in position size or value. However, the filing discloses voting authority:
- Sole Discretion: The majority of holdings are reported with "Sole" voting authority.
- Shared Discretion: Several large positions, including Bank of America, AT&T, and JPMorgan Chase, report "Shared" voting authority, indicating the manager shares control with other parties.
- None: A small number of positions report "None" for voting authority, typically associated with specific bond structures or restricted securities.
Guidance, Outlook, and Risks
Guidance and Outlook: This filing is a regulatory disclosure of holdings and does not contain management commentary, forward-looking guidance, or strategic outlook for Westwood Holdings Group or its portfolio companies.
Risks and Contingencies: The filing includes a standard SEC disclaimer stating that the Commission has not reviewed the information for accuracy. The portfolio composition suggests exposure to:
- Interest Rate Sensitivity: Significant holdings in high-yield bonds, preferred shares, and MLPs.
- Energy Sector Volatility: Concentrated exposure to oil and gas exploration and midstream companies.
- Convertible Bond Risk: Exposure to credit risk and equity volatility inherent in the large convertible bond positions.
Investor Verification Checklist
- Verify the total aggregate value of the portfolio by summing Column 4 (Value) to assess the scale of assets under management.
- Confirm the specific CUSIPs for convertible bond holdings to distinguish between different tranches of the same issuer (e.g., Tesla, Microchip Technology).
- Review the "Shared" voting authority entries to understand potential co-investment structures or fund-of-fund arrangements.
- Cross-reference the "None" voting authority entries to identify any restricted securities or non-voting preferred stock.
- Note that this document does not reflect the firm's own liquidity, debt, or operating cash flow.