SEC Filing Analysis: Davies Financial Advisors, Inc.

Executive Summary

• Trading Significance: Low
• Key Takeaway: Davies Financial Advisors, Inc. has filed its quarterly Form 13F-HR, disclosing $123.16 million in assets under management across 64 positions as of September 30, 2025. The portfolio shows a significant concentration in large-cap US equity ETFs, particularly the Invesco QQQ Trust.
• Market Impact: The filing is informational and represents a standard disclosure for an investment manager of this size. It is expected to have a neutral impact on the broader market and the individual securities listed.

Filer Information

Field	Value
Company	Davies Financial Advisors, Inc.
Ticker Symbol	null
CIK	0002020296
Role	Investment Manager

Filing Details

Field	Value
Form Type	13F-HR
Filing Date	2025-10-15
Period of Report	2025-09-30
Accession Number	0002020296-25-000002

Portfolio Overview

Metric	Value
Total Market Value	$123,162,760
Number of Holdings	64
Top Holding	Invesco QQQ Trust (QQQ)
Top Holding % of Portfolio	21.4%

Top 10 Holdings

Issuer	Value (USD)	Shares
Invesco QQQ Trust (QQQ)	$26,327,148	43,851
SPDR S&P 500 ETF Trust (SPY)	$9,970,591	14,966
Innovator Equity Managed Floor ETF (QFLR)	$7,652,372	212,389
Apple Inc. (AAPL)	$7,608,145	29,879
iShares Gold Trust (IAU)	$5,387,200	74,031
Innovator Nasdaq 100 Managed Floor ETF (QMN)	$5,412,953	163,287
NVIDIA Corporation (NVDA)	$4,619,720	24,760
Microsoft Corp (MSFT)	$4,003,917	7,731
Alphabet Inc. (GOOG)	$2,834,310	11,638
Alphabet Inc. (GOOGL)	$2,286,774	9,406

Investment Insights

Positive Market Indicators

• Strong Conviction in Tech: The portfolio's largest holding is the Invesco QQQ Trust, comprising over 21% of the total reported assets. This, along with significant individual positions in Apple, NVIDIA, and Microsoft, indicates a strong bullish conviction in the US technology sector.
• Diversified ETF Strategy: Beyond tech, the firm utilizes a variety of ETFs for exposure to the S&P 500 (SPY, SPLG), small-caps (SPSM), and fixed income (AGG, TLT), suggesting a core-satellite approach to portfolio construction.
• Inflation/Volatility Hedge: A notable $5.39 million position in the iShares Gold Trust (IAU) may indicate a strategic hedge against inflation or market volatility.

Risk Factors

• Sector Concentration: The heavy allocation to the Nasdaq-100 and technology-related stocks exposes the portfolio to significant risk in the event of a tech sector downturn.
• Market Correlation: The large positions in broad market ETFs like SPY and QQQ mean the portfolio's performance will be highly correlated with the overall US stock market.

Key Takeaways

1. Davies Financial Advisors runs a growth-focused strategy heavily weighted towards US large-cap technology and equities.
2. The firm relies extensively on ETFs for broad market exposure, with individual stock picks concentrated in mega-cap tech leaders.
3. The portfolio includes tactical positions in assets like gold, likely for diversification and risk management purposes.

Contextual Analysis

Filing Significance

Form 13F-HR is a mandatory quarterly report for institutional investment managers with over $100 million in qualifying assets. This filing from Davies Financial Advisors is a routine disclosure of its long positions as of the end of the third quarter of 2025. Its primary value is in providing transparency into the firm's investment strategy and holdings, rather than signaling a specific, immediate market event.

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IMPORTANT DISCLAIMER: This analysis is for informational purposes only and is not intended as investment advice. The information presented is based on publicly available SEC filings and should not be construed as a recommendation to buy, sell, or hold any securities. Past performance does not guarantee future results. All investments carry risk, including the potential loss of principal. Please consult with a qualified financial advisor before making any investment decisions.

Analysis generated on 2023-10-27 | Data source: SEC EDGAR