N-Q 1 gh_nq.htm QUARTERLY NOTICE OF PORTFOLIO HOLDINGS

 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
 Washington, D.C. 20549


 
FORM N-Q
 
 
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT
INVESTMENT COMPANY



Investment Company Act file number (811-23127)



The GoodHaven Funds Trust
 (Exact name of registrant as specified in charter)



4940 SW 83rd Street
                                          Miami, Florida 33143_______________________
(Address of principal executive offices) (Zip code)



Larry Pitkowsky
4940 SW 83rd Street
                                          Miami, Florida 33143_______________________
(Name and address of agent for service)



Registrant's telephone number, including area code: (305) 677-7650



Date of fiscal year end: November 30

Date of reporting period:  August 31, 2018

 
Item 1. Schedule of Investments.
 
GoodHaven Fund
SCHEDULE OF INVESTMENTS at August 31, 2018 (Unaudited)
 
 
Shares
 
  
COMMON STOCKS - 74.1%
 
  
 
 
  
Value
     
Air Transportation - 4.1%
            
 
     131,000
    
American Airlines Group Inc.
         $ 
      5,302,880
                     
     
Asset Management - 1.7%
            
 
       55,000
    
Oaktree Capital Group, LLC
          
       2,235,750
                     
     
Computer Hardware - 4.9%
            
 
     258,400
    
HP Inc.
          
       6,369,560
                     
     
Computer Software - 6.4%
            
 
         6,900
    
Alphabet Inc. - Class C 1
          
       8,405,511
                     
     
Consumer Products - 4.2%
            
 
       64,000
    
Spectrum Brands Holdings, Inc.
          
       5,558,400
                     
     
Diversified Holding Companies - 4.9%
            
 
       31,000
    
Berkshire Hathaway Inc. - Class B 1
          
       6,470,320
                     
     
Financial Services - 3.3%
            
 
     186,143
    
Federated Investors, Inc. - Class B
          
       4,311,072
                     
     
Financials - 5.6%
            
 
     317,512
    
Jefferies Financial Group Inc.
          
       7,372,629
                     
     
General Building Materials - 1.7%
            
 
     139,400
    
Builders FirstSource, Inc. 1
          
       2,177,428
                     
     
Industrial Supplies - 3.4%
            
 
     122,805
    
Systemax Inc.
          
       4,482,382
                     
     
Marine Services & Equipment - 3.1%
            
 
     251,694
    
Stolt-Nielsen Ltd.
          
       4,045,760
                     
     
Metals & Mining - 7.7%
            
 
     964,650
    
Barrick Gold Corp.
          
     10,051,653
                     
     
Oil & Gas Exploration & Production - 16.6%
            
 
  1,693,100
    
Birchcliff Energy Ltd.
          
        6,162,625
 
       34,122
    
Hess Midstream Partners LP
          
          772,522
 
     772,555
    
WPX Energy, Inc. 1
          
     14,732,624
                   
     21,667,771
                     
     
Property/Casualty Insurance - 1.2%
            
 
         2,400
    
Alleghany Corp.
          
       1,516,272
                     
     
Real Estate - 0.7%
            
 
       30,000
    
STORE Capital Corp. - REIT
          
          864,300
                     
     
Retail - 1.1%
            
 
       40,000
    
Macy's Inc.
          
       1,462,000
                     
     
Telecommunications - 3.5%
            
 
       84,000
    
Verizon Communications Inc.
          
       4,567,080
                     
       
TOTAL COMMON STOCKS
            
   
(Cost $62,361,378)
          
     96,860,768
 
 
 
 
  
PREFERRED STOCKS - 0.9%
 
  
 
 
  
 
     
Government Agency - 0.9%
            
 
         7,750
    
Federal National Mortgage Association, Series E, 5.100% 1,2,3
          
            71,455
 
         7,393
    
Federal National Mortgage Association, Series F, 0.170% 1,2,3,4
          
            67,720
 
         6,188
    
Federal National Mortgage Association, Series O, 7.000% 1,3,5
          
            61,632
 
       47,100
    
Federal National Mortgage Association, Series P, 4.500% 1,3,5
          
          236,678
 
       19,980
    
Federal National Mortgage Association, Series R, 7.625% 1,3
          
          109,890
 
       27,846
    
Federal National Mortgage Association, Series S, 8.250% 1,3,4
          
          174,038
 
       71,981
    
Federal National Mortgage Association, Series T, 8.250% 1,3
          
          446,282
                   
       1,167,695
       
TOTAL PREFERRED STOCKS
            
   
(Cost $1,562,510)
          
       1,167,695
                 
 
Principal Amount
 
  
U.S. GOVERNMENT SECURITIES - 19.8%
 
  
 
 
  
 
       
United States Treasury Bills - 19.8%
            
 
 $3,000,000
    
1.933% due 9/20/2018 6
          
       2,997,457
 
  5,000,000
    
1.951% due 10/11/2018 6
          
       4,989,928
 
  3,000,000
    
1.972% due 11/1/2018 6
          
       2,990,297
 
  5,000,000
    
2.060% due 11/15/2018 6
          
       4,979,662
 
  5,000,000
    
2.041% due 11/29/2018 6
          
       4,975,365
 
  5,000,000
    
2.173% due 1/31/2019 6
          
       4,954,834
                   
     25,887,543
       
TOTAL U.S. GOVERNMENT SECURITIES
            
   
(Cost $25,884,677)
          
     25,887,543
                 
 
 
  
MISCELLANOUS SECURITIES - 0.8% 1,7
 
  
Notional Value
 
  
 
       
TOTAL MISCELLANOUS SECURITIES
            
   
(Cost $1,707,719)
   $ 
         11,612,400
    
       1,034,200
                     
       
Total Investments
            
       
(Cost $91,516,284) - 95.6%
          
   124,950,206
       
Cash and Other Assets in Excess of Liabilities - 4.4%
          
       5,770,367
       
TOTAL NET ASSETS - 100.0%
         $ 
 130,720,573
 
   
REIT -
  
Real Estate Investment Trust
            
                     
   
1
  
Non-income producing security.
            
   
2
  
A portion of this security is considered illiquid.  As of August 31, 2018, the total value of illiquid securities was $81,963 or 0.1% of net assets.
   
3
  
Perpetual maturity.
            
   
4
  
Variable rate dividend; rate shown is rate of last dividend.
            
   
5
  
Floating rate dividend; rate shown is minimum yield.
            
   
6
  
Coupon represents the yield to maturity from the purchase price.
            
   
7
  
Represents previously undisclosed securities which the Fund has held for less than one year.
            
 

 
 
GoodHaven Fund
Summary of Fair Value Exposure at August 31, 2018 (Unaudited)
 
The GoodHaven Fund (the "Fund") utilizes various methods to measure the fair value of most of its investments on a recurring basis. U.S. GAAP establishes a hierarchy that prioritizes inputs to valuation methods. The three levels of inputs are:
 
• Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities that the Fund has the ability to access.
• Level 2 — Observable inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly.  These inputs may include quoted prices for the identical instrument on an inactive market, prices for similar instruments, interest rates, prepayment spreads, credit risk, yield curves, default rates and similar data.
 • Level 3 — Unobservable inputs for the asset or liability, to the extent relevant observable inputs are not available, representing the Fund’s own assumptions about the assumptions a market participant would use in valuing the asset or liability, and would be based on the best information available.
 
The following is a summary of the inputs used to value the Fund's investments as of August 31, 2018. See the Schedule of Investments for industry breakouts.
 
 
  
Level 1
    
Level 2
    
Level 3
    
Total
Common Stocks
  
$
96,860,768
    
$
–
    
$
–
    
$
96,860,768
Preferred Stocks
    
859,562
      
308,133
      
–
      
1,167,695
U.S. Government Securities
    
–
      
25,887,543
      
–
      
25,887,543
Miscellaneous Securities
    
1,022,000
      
12,200
      
–
      
1,034,200
Total Investments
  
$
98,742,330
    
$
26,207,876
    
$
–
    
$
124,950,206
 
The Fund did not invest in any Level 3 securities nor have transfers into or out of Level 1 or Level 2 during the period ended August 31, 2018. It is the Fund's policy to recognize transfers between levels at the end of the Fund's reporting period.
 
 
Item 2. Controls and Procedures.
 
(a)
The Registrant’s President and Treasurer have concluded that the Registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940 (the “1940 Act”)) are effective as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 15d‑15(b) under the Securities Exchange Act of 1934, as amended.

(b)
There were no changes in the Registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the Registrant's last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the Registrant's internal control over financial reporting.
 
Item 3. Exhibits.
 
Separate certifications for each principal executive officer and principal financial officer of the Registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)).  Filed herewith.

 
SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.


(Registrant)  GoodHaven Funds Trust                                                 
 
 
By (Signature and Title)  /s/ Larry Pitkowsky                                     
                                            Larry Pitkowsky
                                            Principal Executive Officer and Principal
                                            Financial and Accounting Officer
                                            The GoodHaven Funds Trust

Date   October 17, 2018                                                                            



Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.
 

By (Signature and Title)* /s/ Larry Pitkowsky                                     
                                             Larry Pitkowsky
                                             Principal Executive Officer and Principal
                                             Financial and Accounting Officer
                                             The GoodHaven Funds Trust
 
Date   October 17, 2018                                                                            

* Print the name and title of each signing officer under his or her signature.