Income Strategy Weekly Update for 03/22/24 – 03/29/24

MicroStrategy Gains as Bitcoin Resumes Uptrend, While Quad Graphics Faces Technical Resistance

Last week, the Income Strategy’s representative account rose 2.48% (net of fees), outperforming the ICE BofA Merrill Lynch High Yield Master II Index’s 0.05% gain and outperforming the S&P 500’s 0.40% gain. (Exhibit 1). The strategy ended the week up 12.00% YTD, or 1,051 basis points ahead of the high yield index and 144 basis points ahead of the S&P 500.

Exhibit 1: Performance of Income Strategy Representative Account Net of Fees Versus High Yield, Equity Indices, Through 3/29/2024¹

Time Period	Income Strategy Representative Account	ICE BofA Master High Yield II Index	S&P 500 Index
Last Week (3/22- 3/29)	2.48%	0.05%	0.40%
MTD	8.78%	1.16%	3.22%
QTD	12.00%	1.49%	10.56%
YTD	12.00%	1.49%	10.56%
1 Year	36.13%	13.10%	34.42%
5 Year	6.91%	4.10%	15.21%
10 Year	5.01%	4.38%	13.05%
Inception (annualized since 2/28/2014)	4.86%	4.36%	12.95%

Source: Bloomberg, Miller Value Partners.

Four equities and one bond comprised last week’s top 5 contributors. MicroStrategy Inc 0.75% 12/15/2025 rose in sympathy with Bitcoin’s 9.7% weekly gain, as the price of the prominent cryptocurrency ended the week just shy of $70K. Shares of both AT&T (T) and Bread Financial Holdings (BFH) advanced above the stocks’ respective 50-day moving averages last week.

Exhibit 2: Significant Contributors to Income Strategy Representative Account Performance, 03/22/24 – 03/29/24

Name	Type
MicroStrategy Inc 0.75% 12/15/2025	Bond
AT&T Inc	Equity
*RECENTLY ADDED SECURITY*	Equity
Bread Financial Holdings	Equity
*RECENTLY ADDED SECURITY*	Equity

Source: Miller Value Partners.

Three equities and one bond comprised last week’s top detractors. Shares of Quad Graphics (QUAD) declined below the stock’s 50-day moving average last week. There was no price-changing news for Stellantis NV (STLA), GEO Group (GEO), or Pitney Bowes Inc 7.25% 3/15/2029 last week.

Exhibit 3: Significant Detractors From Income Strategy Representative Account Performance, 03/22/24 – 03/29/24

Name	Type
Stellantis NV	Equity
GEO Group Inc	Equity
Quad Graphics	Equity
Pitney Bowes Inc 7.25% 3/15/2029	Bond

Source: Miller Value Partners.

As of prior week’s market close unless otherwise stated.

¹The performance figures for the representative Income Strategy account reflect the deduction of investment management fees and certain other expenses. Returns greater than 1 year are annualized.

For additional information about Income Strategy performance, please click on the Income Strategy Composite Performance Disclosure. Past performance is no guarantee of future results.

Significant Contributors and Significant Detractors are based on holdings that had the greatest effect on representative account performance for the week. Holdings that have been in the portfolio since the end of the most recent calendar quarter are identified by name. For information on how Contributor/Detractor data were calculated and a list showing the contribution to the Strategy’s weekly performance of each investment held at such quarter end, contact us.

Any views expressed are subject to change at any time, and Miller Value Partners disclaims any responsibility to update such views. There is no guarantee that market trends discussed herein will continue. The information presented should not be considered a recommendation to purchase or sell any security and should not be relied upon as investment advice. It should not be assumed that any purchase or sale decisions will be profitable or will equal the performance of any security mentioned. Past performance is no guarantee of future results, and there is no guarantee dividends will be paid or continued. Content may not be reprinted, republished or used in any manner without written consent from Miller Value Partners. Portfolio composition is shown as of a point in time and is subject to change without notice.