Combining our time-tested abilities in developed and emerging international markets

The Fund invests primarily in companies both in developed markets excluding the United States (the “international value portfolio”) and in emerging markets (the “emerging markets portfolio”). Causeway allocates substantially all of the Fund’s assets between the international value portfolio and the emerging markets portfolio using a proprietary asset allocation model.

International Value Portfolio: The international value portfolio consists primarily of common stocks of companies located in developed countries outside the US. Normally, the majority of this portfolio invests in companies that pay dividends or repurchase their shares. The international value portfolio may also invest in companies located in emerging (less developed) markets.

Emerging Markets Portfolio: The emerging markets portfolio is normally invested in equity securities of companies located in emerging (less developed) markets and other investments that are tied economically to emerging markets. Generally, these investments include common stock, preferred and preference stock, American Depositary Receipts, European Depositary Receipts, Global Depositary Receipts, and exchange-traded funds that invest in emerging markets securities.

YTD Return*
+7.44%
Nav*
$16.90, -0.17
Inception
December 31, 2009
Cusip
14949Q107
Benchmark
MSCI ACWI ex US
Minimum Investment
$1,000,000
Sales Charge
None
Net Expense Ratio
0.95%
Gross Expense Ratio
1.02%
*As of June 14, 2024
Download Profile Sheet Download Prospectus
Contact Us

Strategy overview

The portfolio managers discuss our International Opportunities strategy.

Portfolio managers

Fundamental Portfolio Manager
Fundamental Portfolio Manager
Quantitative Portfolio Manager
President
Head of Fundamental Research
Fundamental Portfolio Manager
Head of Quantitative Research
Quantitative Portfolio Manager
Quantitative Portfolio Manager
Chief Executive Officer
Fundamental Portfolio Manager
Fundamental Portfolio Manager
Fundamental Portfolio Manager
Quantitative Portfolio Manager
Fundamental Portfolio Manager
Fundamental Portfolio Manager

Performance

QTD YTD 1 year3 years5 years10 years Since inception
Fund 5.1%9.7%23.1%5.0%9.5%4.6%6.3%
MSCI ACWI ex US 1.2%6.1%17.3%0.8%7.3%4.5%5.4%
QTD YTD 1 year3 years5 years10 years Since inception
Fund 5.1%9.7%23.1%5.0%9.5%4.6%6.3%
MSCI ACWI ex US 1.2%6.1%17.3%0.8%7.3%4.5%5.4%
QTD YTD 1 year3 years5 years10 years Since inception
Fund 4.4%4.4%16.5%5.1%7.5%4.4%6.0%
MSCI ACWI ex US 4.8%4.8%13.8%2.4%6.5%4.7%5.4%
QTD YTD 1 year3 years5 years10 years Since inception
Fund 4.4%4.4%16.5%5.1%7.5%4.4%6.0%
MSCI ACWI ex US 4.8%4.8%13.8%2.4%6.5%4.7%5.4%
20232022202120202019201820172016201520142013201220112010
Fund 24.8%-11.1%6.6%5.4%21.7%-18.4%29.6%2.0%-6.1%-3.7%17.8%24.6%-12.6%15.4%
MSCI ACWI ex US 16.2%-15.6%8.3%11.1%22.1%-13.8%27.8%5.0%-5.3%-3.4%15.8%17.4%-13.3%11.6%
Fund
MSCI ACWI ex US
20232022202120202019201820172016201520142013201220112010
24.8%-11.1%6.6%5.4%21.7%-18.4%29.6%2.0%-6.1%-3.7%17.8%24.6%-12.6%15.4%
16.2%-15.6%8.3%11.1%22.1%-13.8%27.8%5.0%-5.3%-3.4%15.8%17.4%-13.3%11.6%

Portfolio (as of May 31, 2024)

Benchmark: MSCI ACWI ex US
Asset Allocation
Fund
Stocks 97.5%
Cash 2.5%
Fund Characteristics
Fund Benchmark
No. of holdings 238 2226
Weighted avg. market cap (US $MM) $74,680 $86,260
FY2 price/earnings 10.2 12.6
Price/book value 1.6 1.9
Net assets $248,150,497 -
TOP 10 HOLDINGS
Security Country Percent
Rolls-Royce Holdings Plc United Kingdom 3.6
Barclays PLC United Kingdom 2.7
Shell United Kingdom 2.4
BP Plc United Kingdom 2.4
Alstom SA France 2.3
Roche Holding AG Switzerland 2.1
AstraZeneca PLC United Kingdom 2.0
Reckitt Benckiser Group United Kingdom 1.9
Prudential Plc United Kingdom 1.9
Enel SpA Italy 1.9

A “weighted average” measures a characteristic by the market capitalization of each stock. Price/book ratio is the weighted average of the price/book ratios of all the stocks in a portfolio. The P/B ratio of a company is calculated by dividing the market price of its stock by the company’s per-share book value. The price/earnings ratio is the weighted average of the price/earnings ratios of the stocks in a portfolio. The FY2 P/E ratio is a forward P/E ratio using a next-twenty-four months EPS estimate in the denominator.

Holdings are subject to change.

SECTOR WEIGHTS
Sector Fund Benchmark
Financials 17.6% 21.7%
Industrials 17.0% 14.0%
Information Technology 13.7% 12.8%
Health Care 10.8% 9.3%
Consumer Staples 9.8% 7.4%
Consumer Discretionary 8.0% 11.4%
Energy 6.5% 5.7%
Communication Services 4.5% 5.2%
Materials 4.3% 7.5%
Utilities 4.1% 3.1%
Real Estate 1.2% 1.9%
TOP 10 COUNTRIES
Country Fund Benchmark
United Kingdom 27.0% 9.9%
France 11.6% 7.7%
Japan 7.5% 14.6%
China 7.5% 7.5%
Germany 6.9% 5.5%
India 5.5% 5.0%
Taiwan 5.2% 5.0%
Netherlands 4.7% 3.3%
South Korea 3.7% 3.2%
Italy 3.5% 1.8%
Regional Allocation
  • Europe – other 61.7%
  • Emerging Asia 22.4%
  • Pacific 8.7%
  • Emerging Latin America 1.9%
  • Emerging Europe, Middle East, Africa 1.6%
  • North America 1.2%

Commentary (As of May 31, 2024)

Highlights

  • Global equity markets posted a month of gains for May.
  • European equities, on a sector-neutral basis, are trading at valuation discounts to the US not seen since sovereign debt concerns roiled the region in 2011. We are increasing exposure to well-vetted European-listed stocks across various sectors, including information technology, materials, industrials, and consumer discretionary.
  • Within EM, we continue to identify, in our view, attractive investment opportunities in small cap companies. Historically, our investment process has uncovered EM small cap stocks with alpha potential. The Fund’s allocation to small cap stocks remains near the high end of the historical range.

Portfolio Attribution

The Causeway International Opportunities Fund (“Fund”), on a net asset value basis, outperformed the Index during the month. On a gross return basis, fund holdings in the capital goods, banks, and semiconductors & semi equipment industry groups contributed to relative performance. Holdings in the energy, household & personal products, and financial services industry groups detracted from relative performance. The top individual contributors to absolute returns were rolling stock, signaling, & services provider for the rail industry, Alstom SA (France), jet engine manufacturer, Rolls-Royce Holdings Plc (United Kingdom), and banking & financial services company, Barclays PLC (United Kingdom). The largest individual detractors from absolute returns were crude oil & natural gas company, BP (United Kingdom), robotics manufacturer, Fanuc Corp.(Japan), and electronic equipment manufacturer, Samsung Electronics Co., Ltd. (South Korea).

We use a proprietary quantitative equity allocation model that assists the portfolio managers in determining the weight of emerging versus developed markets in the Fund. Our allocation relative to the weight of emerging markets in the Index is currently underweight. We identify five primary factors as most indicative of the ideal allocation target: valuation, quality, earnings growth, macroeconomic, and risk aversion. Valuation is currently positive for emerging markets in our model. Our quality metrics, which include such measures as profit margins and return on equity, and our earnings growth factor are neutral. Our risk aversion and macroeconomic indicators are negative for emerging markets.

Quarterly Investment Outlook

European equities, on a sector-neutral basis, are trading at valuation discounts to the US not seen since sovereign debt concerns roiled the region in 2011. We are increasing exposure to well-vetted European-listed stocks across various sectors, including information technology, materials, industrials, and consumer discretionary. Valuations in Japan have risen, catalyzed by earnings upgrades in certain export-related industries, capital inflows redirected away from Chinese markets, and optimism for improving corporate governance. Causeway’s investment team remains focused on identifying long-term winners in Japan’s efforts to improve shareholder returns, conducting more than ten research trips there over the past three quarters. However, the long-term challenges persist, namely, delivering consistently improving returns on capital. Within the developed markets portion of the Fund, we continue to identify companies we believe are creating value in their businesses through operational restructuring. Conservative assumptions and our interactions with company managements build our conviction in the share price upside from strengthening underearning businesses, generating more cash flow, and increasing profitability. We aim to balance these restructuring holdings with competitively positioned companies, such as those operating in oligopolistic markets with sustained pricing power, trading at reasonable valuations. Given positive real interest rates in most regions, dividends and buybacks currently are an especially meaningful component of total return. Positive real interest rates should continue to support a value investment style underpinned by rigorous fundamental research.

Within EM, the recent Indian general election produced unexpected results that have significant implications for the country's political landscape. The Narendra Modi-led Bharatiya Janata party (“BJP”) underperformed in the Indian general election, despite exit polls forecasting a strong win. For Modi’s upcoming third term, economic reforms may be harder to implement as Modi will need alliance support, potentially leading to more populist measures like subsidies and cash handouts. We remain confident in our India exposure due to valuation support—the portfolio’s Indian stocks currently trade at significant price-to-earnings discounts versus the MSCI India Index. Market volatility may provide repositioning opportunities. Within EM more broadly, we continue to identify, in our view, attractive investment opportunities in small cap companies. Historically, our investment process has uncovered EM small cap stocks with alpha potential. The Fund’s allocation to small cap stocks remains near the high end of the historical range.

The market commentary expresses the portfolio managers’ views as of the date of this report and should not be relied on as research or investment advice regarding any stock. These views and the fund holdings and characteristics are subject to change. There is no guarantee that any forecasts made will come to pass. Any securities identified and described in this report do not represent all of the securities purchased, sold or recommended for client accounts. The reader should not assume that an investment in the securities identified was or will be profitable. Diversification does not protect against market loss. Current and future holdings are subject to risk. Investing in ETFs is subject to the risks of the underlying funds. Investments in smaller companies typically exhibit higher volatility. Asset allocation may not protect against market risk. International and emerging markets investments may involve risk of capital loss from unfavorable fluctuation in currency values, from differences in generally accepted accounting principles or from social, economic or political instability in other nations. Emerging markets and smaller companies involve additional risks and higher volatility.

Distributions

Dividends Short-term capital gains Long-term capital gains
2023 $0.4007 $0.0000 $0.0282
2022 $0.3603 $0.0000 $0.0000
2021 $0.2400 $0.0000 $0.0000
2020 $0.1974 $0.0000 $0.0000
2019 $0.3502 $0.0000 $0.0327
2018 $0.2904 $0.0000 $0.0327
2017 $0.2145 $0.0000 $0.0000
2016 $0.4494 $0.0000 $0.0000
2015 $0.1623 $0.0107 $0.0199
2014 $0.0000 $0.0000 $0.4943
2013 $0.1266 $0.0001 $0.0739
2012 $0.2451 $0.0000 $0.0190
2011 $0.2756 $0.0000 $0.0303
2010 $0.1858 $0.0000 $0.1712

Distributions are per share. Distribution amounts are based on gains and losses realized and income earned by the Fund through October 31 (or earlier under certain circumstances).

Documents

Fund information:

Forms: