DAVIS VARIABLE ACCOUNT FUND, INC. | Schedule of Investments |
DAVIS VALUE PORTFOLIO | September 30, 2021 (Unaudited) |
Shares | Value | |||||||||||
COMMON STOCK – (98.44%) | ||||||||||||
COMMUNICATION SERVICES – (13.97%) | ||||||||||||
Media & Entertainment – (13.31%) | ||||||||||||
Alphabet Inc., Class A * | 3,250 | $ | 8,688,940 | |||||||||
Alphabet Inc., Class C * | 2,213 | 5,898,331 | ||||||||||
Facebook, Inc., Class A * | 31,720 | 10,765,451 | ||||||||||
IAC/InterActiveCorp * | 21,620 | 2,816,870 | ||||||||||
Liberty TripAdvisor Holdings, Inc., Series A * | 6,088 | 18,812 | ||||||||||
Vimeo, Inc. * | 35,100 | 1,030,887 | ||||||||||
29,219,291 | ||||||||||||
Telecommunication Services – (0.66%) | ||||||||||||
Liberty Global plc, Series C * | 49,290 | 1,452,083 | ||||||||||
Total Communication Services | 30,671,374 | |||||||||||
CONSUMER DISCRETIONARY – (10.37%) | ||||||||||||
Retailing – (10.37%) | ||||||||||||
Amazon.com, Inc. * | 3,296 | 10,827,492 | ||||||||||
Coupang, Inc., Class A (South Korea)* | 56,282 | 1,567,454 | ||||||||||
JD.com, Inc., Class A, ADR (China)* | 74,600 | 5,389,104 | ||||||||||
Naspers Ltd. - N (South Africa) | 4,990 | 824,746 | ||||||||||
Prosus N.V., Class N (Netherlands) | 34,034 | 2,724,115 | ||||||||||
Vroom, Inc. * | 64,420 | 1,421,749 | ||||||||||
Total Consumer Discretionary | 22,754,660 | |||||||||||
CONSUMER STAPLES – (1.01%) | ||||||||||||
Food & Staples Retailing – (0.03%) | ||||||||||||
Missfresh Ltd., Class B, ADS (China)* | 15,000 | 65,400 | ||||||||||
Food, Beverage & Tobacco – (0.98%) | ||||||||||||
Darling Ingredients Inc. * | 30,090 | 2,163,471 | ||||||||||
Total Consumer Staples | 2,228,871 | |||||||||||
FINANCIALS – (47.58%) | ||||||||||||
Banks – (19.73%) | ||||||||||||
Danske Bank A/S (Denmark) | 180,500 | 3,040,725 | ||||||||||
DBS Group Holdings Ltd. (Singapore) | 273,277 | 6,055,438 | ||||||||||
JPMorgan Chase & Co. | 53,828 | 8,811,105 | ||||||||||
U.S. Bancorp | 152,000 | 9,034,880 | ||||||||||
Wells Fargo & Co. | 352,524 | 16,360,639 | ||||||||||
43,302,787 | ||||||||||||
Diversified Financials – (22.24%) | ||||||||||||
Capital Markets – (3.74%) | ||||||||||||
Bank of New York Mellon Corp. | 158,310 | 8,206,790 | ||||||||||
Consumer Finance – (12.32%) | ||||||||||||
American Express Co. | 47,569 | 7,969,234 | ||||||||||
Capital One Financial Corp. | 117,800 | 19,080,066 | ||||||||||
27,049,300 | ||||||||||||
Diversified Financial Services – (6.18%) | ||||||||||||
Berkshire Hathaway Inc., Class A * | 33 | 13,575,507 | ||||||||||
48,831,597 | ||||||||||||
Insurance – (5.61%) | ||||||||||||
Life & Health Insurance – (3.38%) | ||||||||||||
AIA Group Ltd. (Hong Kong) | 414,800 | 4,772,025 | ||||||||||
Ping An Insurance (Group) Co. of China Ltd. - H (China) | 386,500 | 2,643,418 | ||||||||||
7,415,443 |
1
DAVIS VARIABLE ACCOUNT FUND, INC. | Schedule of Investments |
DAVIS VALUE PORTFOLIO - (CONTINUED) | September 30, 2021 (Unaudited) |
Shares/Principal | Value | ||||||||||||
COMMON STOCK – (CONTINUED) | |||||||||||||
FINANCIALS – (CONTINUED) | |||||||||||||
Insurance – (Continued) | |||||||||||||
Property & Casualty Insurance – (2.23%) | |||||||||||||
Chubb Ltd. | 15,950 | $ | 2,767,006 | ||||||||||
Loews Corp. | 23,460 | 1,265,198 | |||||||||||
Markel Corp. * | 720 | 860,493 | |||||||||||
4,892,697 | |||||||||||||
12,308,140 | |||||||||||||
Total Financials | 104,442,524 | ||||||||||||
HEALTH CARE – (8.43%) | |||||||||||||
Health Care Equipment & Services – (5.89%) | |||||||||||||
Cigna Corp. | 30,177 | 6,040,228 | |||||||||||
CVS Health Corp. | 32,232 | 2,735,208 | |||||||||||
Quest Diagnostics Inc. | 28,530 | 4,145,694 | |||||||||||
12,921,130 | |||||||||||||
Pharmaceuticals, Biotechnology & Life Sciences – (2.54%) | |||||||||||||
Viatris Inc. | 412,290 | 5,586,530 | |||||||||||
Total Health Care | 18,507,660 | ||||||||||||
INDUSTRIALS – (2.47%) | |||||||||||||
Capital Goods – (0.50%) | |||||||||||||
Orascom Construction PLC (United Arab Emirates) | 13,155 | 55,909 | |||||||||||
Raytheon Technologies Corp. | 12,175 | 1,046,563 | |||||||||||
1,102,472 | |||||||||||||
Transportation – (1.97%) | |||||||||||||
DiDi Global Inc., Class A, ADS (China)*(a) | 515,776 | 3,817,000 | |||||||||||
DiDi Global Inc., Class A, ADS (China)* | 63,530 | 494,899 | |||||||||||
4,311,899 | |||||||||||||
Total Industrials | 5,414,371 | ||||||||||||
INFORMATION TECHNOLOGY – (14.31%) | |||||||||||||
Semiconductors & Semiconductor Equipment – (13.06%) | |||||||||||||
Applied Materials, Inc. | 111,020 | 14,291,605 | |||||||||||
Intel Corp. | 120,390 | 6,414,379 | |||||||||||
Texas Instruments Inc. | 41,440 | 7,965,182 | |||||||||||
28,671,166 | |||||||||||||
Software & Services – (1.25%) | |||||||||||||
Microsoft Corp. | 9,730 | 2,743,082 | |||||||||||
Total Information Technology | 31,414,248 | ||||||||||||
MATERIALS – (0.30%) | |||||||||||||
Teck Resources Ltd., Class B (Canada) | 26,560 | 661,609 | |||||||||||
Total Materials | 661,609 | ||||||||||||
TOTAL COMMON STOCK – (Identified cost $108,853,432) | 216,095,317 | ||||||||||||
SHORT-TERM INVESTMENTS – (1.59%) | |||||||||||||
Nomura Securities International, Inc. Joint Repurchase Agreement, 0.03%, 10/01/21, dated 09/30/21, repurchase value of $1,697,001 (collateralized by: U.S. Government agency mortgages and obligations in a pooled cash account, 0.00%-3.50%, 02/15/26-09/20/51, total market value $1,730,940) | $ | 1,697,000 | 1,697,000 |
2
DAVIS VARIABLE ACCOUNT FUND, INC. | Schedule of Investments |
DAVIS VALUE PORTFOLIO - (CONTINUED) | September 30, 2021 (Unaudited) |
Principal | Value | |||||||||||
SHORT-TERM INVESTMENTS – (CONTINUED) | ||||||||||||
StoneX Financial Inc. Joint Repurchase Agreement, 0.05%, 10/01/21, dated 09/30/21, repurchase value of $1,112,002 (collateralized by: U.S. Government agency mortgages and obligations in a pooled cash account, 0.00%-8.50%, 10/15/21-08/20/71, total market value $1,134,240) | $ | 1,112,000 | $ | 1,112,000 | ||||||||
Truist Securities, Inc. Joint Repurchase Agreement, 0.05%, 10/01/21, dated 09/30/21, repurchase value of $679,001 (collateralized by: U.S. Government agency mortgages in a pooled cash account, 2.00%-3.00%, 08/01/36-07/01/51, total market value $692,580) | 679,000 | 679,000 | ||||||||||
TOTAL SHORT-TERM INVESTMENTS – (Identified cost $3,488,000) | 3,488,000 | |||||||||||
Total Investments – (100.03%) – (Identified cost $112,341,432) | 219,583,317 | |||||||||||
Liabilities Less Other Assets – (0.03%) | (69,791) | |||||||||||
Net Assets – (100.00%) | $ | 219,513,526 | ||||||||||
ADR: American Depositary Receipt | ||||||||||||
ADS: American Depositary Share | ||||||||||||
* | Non-income producing security. | |||||||||||
(a) | Restricted securities are not registered under the Securities Act of 1933 and may have contractual restrictions on resale. They are fair valued under methods approved by the Board of Directors. The aggregate value of restricted securities amounted to $3,817,000 or 1.74% of the Fund's net assets as of September 30, 2021. | |||||||||||
Please refer to "Notes to Schedule of Investments" on page 8 for the Fund's policy regarding valuation of investments. | ||||||||||||
For information regarding the Fund's other significant accounting policies, please refer to the Fund's most recent Semi-Annual or Annual Shareholder Report. |
3
DAVIS VARIABLE ACCOUNT FUND, INC. | Schedule of Investments |
DAVIS FINANCIAL PORTFOLIO | September 30, 2021 (Unaudited) |
Shares | Value | ||||||||||||
COMMON STOCK – (98.64%) | |||||||||||||
FINANCIALS – (98.64%) | |||||||||||||
Banks – (48.68%) | |||||||||||||
Banks – (46.58%) | |||||||||||||
Bank of America Corp. | 92,640 | $ | 3,932,568 | ||||||||||
Bank of N.T. Butterfield & Son Ltd. (Bermuda) | 52,620 | 1,868,536 | |||||||||||
Danske Bank A/S (Denmark) | 113,260 | 1,907,991 | |||||||||||
DBS Group Holdings Ltd. (Singapore) | 122,737 | 2,719,681 | |||||||||||
DNB Bank ASA (Norway) | 103,801 | 2,359,883 | |||||||||||
JPMorgan Chase & Co. | 28,600 | 4,681,534 | |||||||||||
M&T Bank Corp. | 8,400 | 1,254,456 | |||||||||||
Metro Bank PLC (United Kingdom)* | 139,120 | 197,167 | |||||||||||
PNC Financial Services Group, Inc. | 18,530 | 3,625,209 | |||||||||||
Truist Financial Corp. | 19,750 | 1,158,338 | |||||||||||
U.S. Bancorp | 69,170 | 4,111,465 | |||||||||||
Wells Fargo & Co. | 88,370 | 4,101,252 | |||||||||||
31,918,080 | |||||||||||||
Thrifts & Mortgage Finance – (2.10%) | |||||||||||||
Rocket Companies, Inc., Class A | 89,760 | 1,439,750 | |||||||||||
33,357,830 | |||||||||||||
Diversified Financials – (31.47%) | |||||||||||||
Capital Markets – (12.30%) | |||||||||||||
Bank of New York Mellon Corp. | 68,310 | 3,541,190 | |||||||||||
Charles Schwab Corp. | 30,650 | 2,232,546 | |||||||||||
Julius Baer Group Ltd. (Switzerland) | 39,959 | 2,654,864 | |||||||||||
8,428,600 | |||||||||||||
Consumer Finance – (13.77%) | |||||||||||||
American Express Co. | 15,650 | 2,621,845 | |||||||||||
Capital One Financial Corp. | 42,060 | 6,812,458 | |||||||||||
9,434,303 | |||||||||||||
Diversified Financial Services – (5.40%) | |||||||||||||
Berkshire Hathaway Inc., Class A * | 9 | 3,702,411 | |||||||||||
21,565,314 | |||||||||||||
Insurance – (18.49%) | |||||||||||||
Life & Health Insurance – (1.20%) | |||||||||||||
Ping An Insurance (Group) Co. of China Ltd. - H (China) | 120,000 | 820,725 | |||||||||||
Property & Casualty Insurance – (13.27%) | |||||||||||||
Chubb Ltd. | 19,716 | 3,420,332 | |||||||||||
Loews Corp. | 44,380 | 2,393,413 | |||||||||||
Markel Corp. * | 2,745 | 3,280,632 | |||||||||||
9,094,377 | |||||||||||||
Reinsurance – (4.02%) | |||||||||||||
Alleghany Corp. * | 2,980 | 1,860,742 | |||||||||||
Everest Re Group, Ltd. | 2,230 | 559,239 | |||||||||||
Greenlight Capital Re, Ltd., Class A * | 45,000 | 332,550 | |||||||||||
2,752,531 | |||||||||||||
12,667,633 | |||||||||||||
Total Financials | 67,590,777 | ||||||||||||
TOTAL COMMON STOCK – (Identified cost $39,468,244) | 67,590,777 |
4
DAVIS VARIABLE ACCOUNT FUND, INC. | Schedule of Investments |
DAVIS FINANCIAL PORTFOLIO - (CONTINUED) | September 30, 2021 (Unaudited) |
Principal | Value | |||||||||||
SHORT-TERM INVESTMENTS – (1.08%) | ||||||||||||
Nomura Securities International, Inc. Joint Repurchase Agreement, 0.03%, 10/01/21, dated 09/30/21, repurchase value of $360,000 (collateralized by: U.S. Government agency mortgages and obligation in a pooled cash account, 1.50%-3.50%, 01/31/26-10/01/51, total market value $367,200) | $ | 360,000 | $ | 360,000 | ||||||||
StoneX Financial Inc. Joint Repurchase Agreement, 0.05%, 10/01/21, dated 09/30/21, repurchase value of $236,000 (collateralized by: U.S. Government agency mortgages and obligations in a pooled cash account, 0.00%-8.50%, 10/15/21-08/20/71, total market value $240,720) | 236,000 | 236,000 | ||||||||||
Truist Securities, Inc. Joint Repurchase Agreement, 0.05%, 10/01/21, dated 09/30/21, repurchase value of $144,000 (collateralized by: U.S. Government agency mortgages and obligation in a pooled cash account, 2.00%, 05/31/24-10/01/36, total market value $146,880) | 144,000 | 144,000 | ||||||||||
TOTAL SHORT-TERM INVESTMENTS – (Identified cost $740,000) | 740,000 | |||||||||||
Total Investments – (99.72%) – (Identified cost $40,208,244) | 68,330,777 | |||||||||||
Other Assets Less Liabilities – (0.28%) | 194,331 | |||||||||||
Net Assets – (100.00%) | $ | 68,525,108 | ||||||||||
* | Non-income producing security. | |||||||||||
Please refer to "Notes to Schedule of Investments" on page 8 for the Fund's policy regarding valuation of investments. | ||||||||||||
For information regarding the Fund's other significant accounting policies, please refer to the Fund's most recent Semi-Annual or Annual Shareholder Report. |
5
DAVIS VARIABLE ACCOUNT FUND, INC. | Schedule of Investments |
DAVIS REAL ESTATE PORTFOLIO | September 30, 2021 (Unaudited) |
Shares | Value | ||||||||
COMMON STOCK – (95.42%) | |||||||||
REAL ESTATE – (95.42%) | |||||||||
Equity Real Estate Investment Trusts (REITs) – (95.42%) | |||||||||
Health Care REITs – (8.66%) | |||||||||
Healthcare Trust of America, Inc. | 7,330 | $ | 217,408 | ||||||
Healthpeak Properties, Inc. | 8,500 | 284,580 | |||||||
Ventas, Inc. | 4,580 | 252,862 | |||||||
Welltower Inc. | 5,950 | 490,280 | |||||||
1,245,130 | |||||||||
Hotel & Resort REITs – (7.02%) | |||||||||
Host Hotels & Resorts Inc. * | 32,680 | 533,664 | |||||||
Ryman Hospitality Properties, Inc. * | 890 | 74,493 | |||||||
Sunstone Hotel Investors, Inc. * | 33,550 | 400,587 | |||||||
1,008,744 | |||||||||
Industrial REITs – (13.85%) | |||||||||
Americold Realty Trust | 2,420 | 70,301 | |||||||
Prologis, Inc. | 7,413 | 929,812 | |||||||
Rexford Industrial Realty, Inc. | 9,200 | 522,100 | |||||||
Terreno Realty Corp. | 7,420 | 469,167 | |||||||
1,991,380 | |||||||||
Office REITs – (13.11%) | |||||||||
Alexandria Real Estate Equities, Inc. | 1,970 | 376,408 | |||||||
Boston Properties, Inc. | 2,090 | 226,452 | |||||||
Cousins Properties, Inc. | 10,545 | 393,223 | |||||||
Douglas Emmett, Inc. | 8,010 | 253,196 | |||||||
Highwoods Properties, Inc. | 4,430 | 194,300 | |||||||
Hudson Pacific Properties, Inc. | 8,950 | 235,116 | |||||||
SL Green Realty Corp. | 1,307 | 92,588 | |||||||
Vornado Realty Trust | 2,690 | 113,007 | |||||||
1,884,290 | |||||||||
Residential REITs – (19.24%) | |||||||||
American Campus Communities, Inc. | 10,630 | 515,023 | |||||||
American Homes 4 Rent, Class A | 7,070 | 269,508 | |||||||
AvalonBay Communities, Inc. | 2,210 | 489,824 | |||||||
Camden Property Trust | 1,880 | 277,244 | |||||||
Equity Residential | 5,430 | 439,396 | |||||||
Essex Property Trust, Inc. | 1,430 | 457,228 | |||||||
Sun Communities, Inc. | 850 | 157,335 | |||||||
UDR, Inc. | 3,010 | 159,470 | |||||||
2,765,028 | |||||||||
Retail REITs – (12.13%) | |||||||||
Acadia Realty Trust | 7,397 | 150,973 | |||||||
Brixmor Property Group, Inc. | 21,740 | 480,672 | |||||||
Federal Realty Investment Trust | 2,570 | 303,234 | |||||||
Retail Opportunity Investments Corp. | 13,865 | 241,528 | |||||||
Simon Property Group, Inc. | 4,360 | 566,669 | |||||||
1,743,076 | |||||||||
Specialized REITs – (21.41%) | |||||||||
American Tower Corp. | 1,820 | 483,046 | |||||||
CoreSite Realty Corp. | 1,160 | 160,706 |
6
DAVIS VARIABLE ACCOUNT FUND, INC. | Schedule of Investments |
DAVIS REAL ESTATE PORTFOLIO - (CONTINUED) | September 30, 2021 (Unaudited) |
Shares/Principal | Value | |||||||||||||
COMMON STOCK – (CONTINUED) | ||||||||||||||
REAL ESTATE – (CONTINUED) | ||||||||||||||
Equity Real Estate Investment Trusts (REITs) – (Continued) | ||||||||||||||
Specialized REITs – (Continued) | ||||||||||||||
Crown Castle International Corp. | 800 | $ | 138,656 | |||||||||||
CyrusOne Inc. | 3,990 | 308,866 | ||||||||||||
Digital Realty Trust, Inc. | 2,560 | 369,792 | ||||||||||||
Equinix, Inc. | 748 | 591,017 | ||||||||||||
Extra Space Storage Inc. | 1,380 | 231,826 | ||||||||||||
Life Storage, Inc. | 1,710 | 196,206 | ||||||||||||
Public Storage | 1,640 | 487,244 | ||||||||||||
VICI Properties Inc. | 3,880 | 110,231 | ||||||||||||
3,077,590 | ||||||||||||||
Total Real Estate | 13,715,238 | |||||||||||||
TOTAL COMMON STOCK – (Identified cost $9,776,645) | 13,715,238 | |||||||||||||
SHORT-TERM INVESTMENTS – (4.59%) | ||||||||||||||
Nomura Securities International, Inc. Joint Repurchase Agreement, 0.03%, 10/01/21, dated 09/30/21, repurchase value of $321,000 (collateralized by: U.S. Government agency mortgages in a pooled cash account, 2.50%-4.00%, 09/01/35-10/15/43, total market value $327,420) | $ | 321,000 | 321,000 | |||||||||||
StoneX Financial Inc. Joint Repurchase Agreement, 0.05%, 10/01/21, dated 09/30/21, repurchase value of $211,000 (collateralized by: U.S. Government agency mortgages and obligations in a pooled cash account, 0.00%-8.50%, 10/15/21-08/20/71, total market value $215,220) | 211,000 | 211,000 | ||||||||||||
Truist Securities, Inc. Joint Repurchase Agreement, 0.05%, 10/01/21, dated 09/30/21, repurchase value of $128,000 (collateralized by: U.S. Government agency mortgages and obligations in a pooled cash account, 0.125%-3.00%, 06/30/22-07/01/51, total market value $130,560) | 128,000 | 128,000 | ||||||||||||
TOTAL SHORT-TERM INVESTMENTS – (Identified cost $660,000) | 660,000 | |||||||||||||
Total Investments – (100.01%) – (Identified cost $10,436,645) | 14,375,238 | |||||||||||||
Liabilities Less Other Assets – (0.01%) | (1,395) | |||||||||||||
Net Assets – (100.00%) | $ | 14,373,843 | ||||||||||||
* | Non-income producing security. | |||||||||||||
Please refer to "Notes to Schedule of Investments" on page 8 for the Fund's policy regarding valuation of investments. | ||||||||||||||
For information regarding the Fund's other significant accounting policies, please refer to the Fund's most recent Semi-Annual or Annual Shareholder Report. |
7
DAVIS VARIABLE ACCOUNT FUND, INC. | Notes to Schedule of Investments |
September 30, 2021 (Unaudited) |
Security Valuation - The Funds calculate the net asset value of their shares as of the close of the New York Stock Exchange ("Exchange"), normally 4:00 P.M. Eastern time, on each day the Exchange is open for business. Securities listed on the Exchange (and other national exchanges including NASDAQ) are valued at the last reported sales price on the day of valuation. Listed securities for which no sale was reported on that date are valued at the last quoted bid price. Securities traded on foreign exchanges are valued based upon the last sales price on the principal exchange on which the security is traded prior to the time when the Funds' assets are valued. Securities (including restricted securities) for which market quotations are not readily available or securities whose values have been materially affected by what Davis Selected Advisers, L.P. ("Adviser"), the Funds' investment adviser, identifies as a significant event occurring before the Funds' assets are valued, but after the close of their respective exchanges will be fair valued using a fair valuation methodology applicable to the security type or the significant event as previously approved by the Funds' Pricing Committee and Board of Directors. The Pricing Committee considers all facts it deems relevant that are reasonably available, through either public information or information available to the Adviser's portfolio management team, when determining the fair value of a security. To assess the appropriateness of security valuations, the Adviser may consider (i) comparing prior day prices and/or prices of comparable securities; (ii) comparing sale prices to the prior or current day prices and challenge those prices exceeding certain tolerance levels with the third-party pricing service or broker source; (iii) new rounds of financing; (iv) the performance of the market or the issuer's industry; (v) the liquidity of the security; (vi) the size of the holding in a fund; and/or (vii) any other appropriate information. The determination of a security's fair value price often involves the consideration of a number of subjective factors and is therefore subject to the unavoidable risk that the value assigned to a security may be higher or lower than the security's value would be if a reliable market quotation of the security was readily available. Fair value determinations are subject to review, approval, and ratification by the Funds' Board of Directors at its next regularly scheduled meeting covering the period in which the fair valuation was determined. Fair valuation methods used by the Funds may include, but are not limited to, valuing securities initially at cost (excluding commissions) and subsequently adjusting the value due to: additional transactions by the issuer, changes in company specific fundamentals, and changes in the value of similar securities. Values may be further adjusted for any discounts related to security-specific resale restrictions.
Short-term investments purchased within 60 days to maturity are valued at amortized cost, which approximates market value.
The Funds' valuation procedures are reviewed and subject to approval by the Board of Directors. There have been no significant changes to the fair valuation procedures during the period.
Fair Value Measurements - Fair value is defined as the price that the Funds would receive upon selling an investment in an orderly transaction to an independent buyer in the principal market for the investment. Various inputs are used to determine the fair value of the Funds' investments. These inputs are summarized in the three broad levels listed below.
Level 1 – | quoted prices in active markets for identical securities |
Level 2 – | other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.) |
Level 3 – | significant unobservable inputs (including the Fund's own assumptions in determining the fair value of investments) |
The inputs or methodologies used for valuing securities are not necessarily an indication of the risks associated with investing in those securities nor can it be assured that the Funds can obtain the fair value assigned to a security if they were to sell the security.
8
DAVIS VARIABLE ACCOUNT FUND, INC. | Notes to Schedule of Investments – (Continued) |
September 30, 2021 (Unaudited) |
Security Valuation – (Continued)
Fair Value Measurements - (Continued)
The following is a summary of the inputs used as of September 30, 2021 in valuing each Fund's investments carried at value:
Investments in Securities at Value | ||||||||
Davis Value | Davis Financial | Davis Real Estate | ||||||
Portfolio | Portfolio | Portfolio | ||||||
Valuation Inputs | ||||||||
Level 1 – Quoted Prices: | ||||||||
Common Stock: | ||||||||
Communication Services | $ | 30,671,374 | $ | – | $ | – | ||
Consumer Discretionary | 19,205,799 | – | – | |||||
Consumer Staples | 2,228,871 | – | – | |||||
Financials | 87,930,918 | 56,930,466 | – | |||||
Health Care | 18,507,660 | – | – | |||||
Industrials | 1,597,371 | – | – | |||||
Information Technology | 31,414,248 | – | – | |||||
Materials | 661,609 | – | – | |||||
Real Estate | – | – | 13,715,238 | |||||
Total Level 1 | 192,217,850 | 56,930,466 | 13,715,238 | |||||
Level 2 – Other Significant Observable Inputs: | ||||||||
Common Stock*: | ||||||||
Consumer Discretionary | 3,548,861 | – | – | |||||
Financials | 16,511,606 | 10,660,311 | – | |||||
Industrials | 3,817,000 | – | – | |||||
Short-Term Investments | 3,488,000 | 740,000 | 660,000 | |||||
Total Level 2 | 27,365,467 | 11,400,311 | 660,000 | |||||
Level 3 – Significant Unobservable Inputs: | ||||||||
Total Level 3 | – | – | – | |||||
Total Investments | $ | 219,583,317 | $ | 68,330,777 | $ | 14,375,238 |
* Includes certain securities trading primarily outside the U.S. whose value the Fund adjusted as a result of significant market movements following the close of local trading.
The following table reconciles the valuation of assets in which significant unobservable inputs (Level 3) were used in determining fair value during the nine months ended September 30, 2021. The net increase in unrealized appreciation during the period on Level 3 securities for Davis Value Portfolio was $1,827,136. The cost of purchases or proceeds from sales may include securities received or delivered through corporate actions or exchanges.
Beginning Balance at January 1, 2021 | Cost of Purchases | Proceeds from Sales | Net Increase in Unrealized Appreciation | Net Realized Gain (Loss) | Transfers into Level 3 | Transfers out of Level 3** | Ending Balance at September 30, 2021 | |||||||||||||||||
Davis Value Portfolio | ||||||||||||||||||||||||
Investments in Securities: | ||||||||||||||||||||||||
Preferred Stock | $ | 4,857,320 | $ | – | $ | – | $ | 1,827,136 | $ | – | $ | – | $ | (6,684,456) | $ | – | ||||||||
Total Level 3 | $ | 4,857,320 | $ | – | $ | – | $ | 1,827,136 | $ | – | $ | – | $ | (6,684,456) | $ | – |
** During the period ended September 30, 2021, certain securities fair valued at $6,684,456 transferred out of Level 3 because observable market data became available for the securities.
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DAVIS VARIABLE ACCOUNT FUND, INC. | Notes to Schedule of Investments – (Continued) |
September 30, 2021 (Unaudited) |
Federal Income Taxes
At September 30, 2021, the unrealized appreciation (depreciation) and aggregate cost of investments for federal income tax purposes were as follows:
Davis Value Portfolio | Davis Financial Portfolio | Davis Real Estate Portfolio | ||||||
Unrealized appreciation | $ | 111,722,682 | $ | 30,217,781 | $ | 4,012,457 | ||
Unrealized depreciation | (5,744,582) | (2,127,525) | (253,579) | |||||
Net unrealized appreciation | $ | 105,978,100 | $ | 28,090,256 | $ | 3,758,878 | ||
Aggregate cost | $ | 113,605,217 | $ | 40,240,521 | $ | 10,616,360 |
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