In this annual investor Q&A, Harris | Oakmark’s Bill Nygren addresses the questions that matter most to shareholders—from recent performance and the market’s enthusiasm for AI to portfolio positioning, valuation discipline and the growing concentration of the S&P 500. The discussion explains why we remain focused on durable earnings and attractive prices, how the investment team is incorporating quantitative insights into its decision-making, and where active management may offer meaningful diversification. It also provides candid perspectives on current holdings while reinforcing the long-term philosophy that has guided the Oakmark Fund since its inception.
OPINION PIECE. PLEASE SEE ENDNOTES FOR IMPORTANT DISCLOSURES.
Important Disclosures
| Inception Date | QTD | YTD | 1 yr | 3 yrs | 5 yrs | 10 yrs1 | Since Inception1 | Expense ratio | |
|---|---|---|---|---|---|---|---|---|---|
| OAKMX | 8/5/1991 | 3.45 | 3.37 | 8.30 | 15.61 | 10.20 | 13.08 | 12.67 | 0.89 |
| OAYMX | 11/30/2016 | 3.49 | 3.49 | 8.48 | 15.82 | 10.41 | 13.26 | 12.73 | 0.70 |
| OANMX | 11/30/2016 | 3.51 | 3.54 | 8.55 | 15.87 | 10.45 | 13.31 | 12.74 | 0.67 |
| OAZMX | 12/15/2020 | 3.52 | 3.58 | 8.60 | 15.93 | 10.50 | 13.34 | 12.75 | 0.61 |
| S&P 500 Index | 2.30 | 12.75 | 15.74 | 22.89 | 13.79 | 15.33 | 11.01 | ||
| Russell 1000 Value | 2.61 | 19.27 | 23.81 | 20.07 | 11.92 | 11.43 | 10.38 |
1For the periods prior to their respective inception dates, Advisor Class, Institutional Class and R6 Class performance represents “Linked Performance”. Linked performance has not been restated to reflect expenses and the share classes’ returns during that period would be different if such expenses were reflected. See additional information in disclosure section. Expense ratios are as of the Fund’s most recent statutory prospectus dated January 28, 2026, as amended and restated April 2, 2026 and June 30, 2026; actual expenses may vary. Returns for periods less than one year are not annualized. Since inception returns for the indexes are calculated based on the Investor Class inception date.
The performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. Total return includes change in share prices and, in each case, includes reinvestment of dividends and capital gain distributions. To obtain most recent month-end performance data, visit Oakmark.com.
The securities mentioned above comprise the following percentages of the Oakmark Fund’s total net assets as of 9/30/2026: Airbnb Cl A 2.8%, ConocoPhillips 2.7%, Corebridge Financial 1.0%, Delta Air Lines 2.5%, Equitable Holdings 1.0%, General Motors 1.6%, Intercontinental Exchange 2.7%, Micron 0.0%, Nike Cl B 1.0%, Nvidia 0.0%, Salesforce 3.2% and Targa Resources 2.5%. Portfolio holdings are subject to change without notice and are not intended as recommendations of individual stocks.
Access the full list of holdings for the Oakmark Fund here.
“Linked performance”: Advisor and Institutional Class shares commenced operations on 11/30/2016. The performance attributed to the those share classes prior to that date is that of the Investor Class shares from 8/5/1991-11/30/2016. Performance prior to 11/30/2016 has not been adjusted to reflect the lower expenses of Advisor and Institutional Class shares which would have had similar, but potentially higher returns due to lower expenses. R6 Class shares commenced operations on 12/15/2020. The performance attributed to the R6 Class shares prior to that date is that of the Investor Class shares from 8/5/1991-11/30/2016, and then the performance of the Institutional Class shares from 11/30/2016-12/15/2020. Performance prior to 12/15/2020 has not been adjusted to reflect the lower expenses of R6 Class shares. During this period, R6 Class shares would have had similar, but potentially higher returns due to lower expenses.
This material is not intended to be a recommendation or investment advice, does not constitute a solicitation to buy, sell or hold a security or an investment strategy, and is not provided in a fiduciary capacity. The information provided does not take into account the specific objectives or circumstances of any particular investor, or suggest any specific course of action. Investment decisions should be made based on an investor’s objectives and circumstances and in consultation with his or her financial professionals.
The information, data, analyses, and opinions presented herein (including current investment themes, the portfolio managers’ research and investment process, and portfolio characteristics) are for informational purposes only and represent the investments and views of the portfolio managers and Harris Associates L.P. as of the date written and are subject to change and may change based on market and other conditions and without notice. This content is not a recommendation of or an offer to buy or sell a security and is not warranted to be correct, complete or accurate.
Certain comments herein are based on current expectations and are considered “forward-looking statements.” These forward looking statements reflect assumptions and analyses made by the portfolio managers and Harris Associates L.P. based on their experience and perception of historical trends, current conditions, expected future developments, and other factors they believe are relevant. Actual future results are subject to a number of investment and other risks and may prove to be different from expectations. Readers are cautioned not to place undue reliance on the forward-looking statements.
The price-to-earnings ratio (“P/E”) compares a company’s current share price to its per-share earnings. It may also be known as the “price multiple” or “earnings multiple”, and gives a general indication of how expensive or cheap a stock is. Investors should not base investment decisions on any single attribute or characteristic data point.
EBIT is a measure of a firm’s profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses.
EPS refers to Earnings Per Share and is calculated by dividing total earnings by the number of shares outstanding.
The S&P 500 Index is a float-adjusted, capitalization-weighted index of 500 U.S. large-capitalization stocks representing all major industries. It is a widely recognized index of broad, U.S. equity market performance. Returns reflect the reinvestment of dividends. This index is unmanaged and investors cannot invest directly in this index.
The Russell 1000® Value Index measures the performance of the large-cap value segment of the U.S. equity universe. It includes those Russell 1000® companies with lower price-to-book ratios and lower expected growth values. This index is unmanaged and investors cannot invest directly in this index.
Russell 1000® Growth Index is an unmanaged index that measures the performance of the large-cap growth segment of the U.S. equity universe. It includes those Russell 1000® companies with higher price-to-book ratios and higher forecasted growth values. This index is unmanaged and investors cannot invest directly in this index.
Investing involves risk; principal loss is possible. There is no guarantee the Fund’s investment objective will be achieved. Value stocks may fall out of favor with investors and underperform growth stocks during given periods. The Fund’s portfolio tends to be invested in a relatively small number of stocks. As a result, the appreciation or depreciation of any one security held by the Fund will have a greater impact on the Fund’s net asset value than it would if the Fund invested in a larger number of securities. Although that strategy has the potential to generate attractive returns over time, it also increases the Fund’s volatility. These and other risk considerations are described in detail in the Fund’s prospectus.
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