Advisor Login

Forgot Password?

Don't have an account?

An email has been sent to you with further instructions on how to reset your password.Please make sure to check your spam folder just in case.

Please reset your password with the form below.

Get instant access by filling out this form.

International Opportunities

Strategy Profile

The Causeway International Opportunities strategy is a blend of Causeway’s best skills, combining our international value (bottom-up, fundamental, developed international markets) and emerging markets (quantitatively managed with a targeted tracking error of 5%) equity strategies. Tracking error is a measurement of dispersion from a benchmark index. Our quantitative research team developed a multi-factor model that measures the relative attractiveness of emerging markets, and guides the portfolio managers in tactically allocating between the developed and emerging portfolio segments.

Inception Date30 June 2007
Benchmark MSCI ACWI ex US

Performance

Fund Quarter to Date Year to Date 1 Year3 Year5 Year10 Year Since Inception
Gross % 7.9%7.9%-15.6%8.8%2.8%11.0%3.1%
Net % 7.8%7.8%-15.9%8.4%2.5%10.6%2.7%
MSCI ACWI ex US 7.6%7.6%-12.1%10.1%3.6%8.8%1.7%

Portfolio

Asset Allocation as of 31 Jan 2019

Stocks 98.1%
Cash 1.9%

Characteristics as of 31 Jan 2019

Causeway MSCI ACWI ex US
No. of Holdings 191 2135
Wtd. Avg. Market Cap (Mn $US)$49,320$48,558
FY2 Price/Earnings9.812.3
Price/Book Value1.21.6
Dividend Yield (%)3.93.3

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.

SECTOR WEIGHTS as of 31 Jan 2019

Financials23.65%
Industrials14.55%
Materials11.78%
Health Care9.44%
Consumer Discretionary9.31%
Energy8.70%
Information Technology7.40%
Communication Services5.75%
Consumer Staples3.74%
Utilities2.86%
Real Estate0.86%

(VS. Benchmark)

Financials22.14%
Industrials11.67%
Materials7.65%
Health Care8.20%
Consumer Discretionary10.71%
Energy7.44%
Information Technology8.13%
Communication Services7.64%
Consumer Staples9.62%
Utilities3.37%
Real Estate3.43%
Financials
Industrials
Materials
Health Care
Consumer Discretionary
Energy
Information Technology
Communication Services
Consumer Staples
Utilities
Real Estate
Other

TOP 10 COUNTRIES as of 31 Jan 2019

United Kingdom27.29%
Germany12.11%
Japan12.05%
Switzerland8.01%
China7.07%
Canada5.62%
South Korea4.84%
India2.83%
Taiwan2.81%
Netherlands2.61%
Italy2.60%
Brazil2.10%
France1.83%
Russia1.43%
Thailand1.41%
Spain0.78%
South Africa0.58%
Turkey0.48%
Peru0.40%
Mexico0.31%
Malaysia0.29%
Poland0.21%
Qatar0.14%
United Arab Emirates0.12%
Czech Republic0.10%
Indonesia0.05%
New Zealand0.00%
Singapore0.00%
Egypt0.00%
Greece0.00%
Hungary0.00%
Pakistan0.00%
Philippines0.00%
Sweden0.00%
Norway0.00%
Portugal0.00%
Australia0.00%
Hong Kong0.00%
Ireland0.00%
Israel0.00%
Austria0.00%
Belgium0.00%
Denmark0.00%
Finland0.00%
Chile0.00%
Colombia0.00%

(VS. Benchmark)

United Kingdom11.37%
Germany5.89%
Japan16.51%
Switzerland5.77%
China8.16%
Canada6.78%
South Korea3.67%
India2.22%
Taiwan2.80%
Netherlands2.30%
Italy1.53%
Brazil2.11%
France7.38%
Russia1.02%
Thailand0.64%
Spain2.07%
South Africa1.69%
Turkey0.18%
Peru0.11%
Mexico0.74%
Malaysia0.60%
Poland0.32%
Qatar0.27%
United Arab Emirates0.19%
Czech Republic0.04%
Indonesia0.61%
New Zealand0.15%
Singapore0.91%
Egypt0.03%
Greece0.06%
Hungary0.08%
Pakistan0.01%
Philippines0.29%
Sweden1.80%
Norway0.49%
Portugal0.10%
Australia4.64%
Hong Kong2.64%
Ireland0.36%
Israel0.38%
Austria0.16%
Belgium0.65%
Denmark1.14%
Finland0.71%
Chile0.29%
Colombia0.11%
United Kingdom
Germany
Japan
Switzerland
China
Canada
South Korea
India
Taiwan
Netherlands
Italy
Brazil
France
Russia
Thailand
Spain
South Africa
Turkey
Peru
Mexico
Malaysia
Poland
Qatar
United Arab Emirates
Czech Republic
Indonesia
New Zealand
Singapore
Egypt
Greece
Hungary
Pakistan
Philippines
Sweden
Norway
Portugal
Australia
Hong Kong
Ireland
Israel
Austria
Belgium
Denmark
Finland
Chile
Colombia
Other

TOP 10 HOLDINGS as of 31 Jan 2019

Security Country Industry % of Total
Volkswagen AG Germany Automobiles & Components 3.6
Takeda Pharmaceutical Co., Ltd. Japan Pharmaceuticals & Biotechnology 3.3
Linde Plc United States Materials 3.0
Prudential Plc United Kingdom Insurance 2.9
UniCredit S.p.A. Italy Banks 2.6
BASF SE Germany Materials 2.6
British American Tobacco plc United Kingdom Food Beverage & Tobacco 2.3
Barclays Plc United Kingdom Banks 2.3
ABB Ltd. Switzerland Capital Goods 2.3
Manulife Financial Canada Insurance 2.1

Holdings are subject to change.

Approach

The Causeway International Opportunities strategy is a blend of Causeway’s best skills, combining our international value (bottom-up, fundamental, developed international markets) and emerging markets (quantitatively managed with a targeted tracking error of 5%) equity strategies. Tracking error is a measurement of dispersion from a benchmark index. Our quantitative research team developed a multi-factor model that measures the relative attractiveness of emerging markets, and guides the portfolio managers in tactically allocating between the developed and emerging portfolio segments.

Our developed markets exposure aims to add value through intensive fundamental research implemented via a disciplined value approach.

Our emerging markets exposure is the result of a quantitative strategy tailored to the unique growth, momentum, and risk characteristics of developing markets. Our proprietary tactical allocation model is designed to add additional value.

The Causeway International Opportunities portfolio is a fully invested, typically 120-200 stock portfolio. Allocation between developed and emerging markets can range from 0-2x the allocation of the MSCI All Country World Index ex-US, but is scalable to clients’ desired parameters.

Commentary

PERFORMANCE REVIEW for the month ended 31 Dec 2018


Heightened geopolitical tensions and concerns of a broader slowdown in global economic growth pressured both developed and emerging equity markets in December. The top performing markets in our investable universe were Mexico, Malaysia, the Philippines, Peru, and Indonesia. The worst performing markets were Israel, Austria, Pakistan, Belgium, and Canada. The best performing sectors in the MSCI ACWI ex US Index (“Index”) were utilities, materials, and real estate. The worst performing sectors were health care, energy, and industrials.

The Portfolio underperformed the Index during the month, due primarily to stock selection. Attractive valuations did not provide immunity from the selling, especially in non-US equity markets. Portfolio holdings in the insurance, banks, consumer services, food beverage & tobacco, and transportation industry groups detracted from relative performance. Holdings in the capital goods and telecommunication services industry groups, as well as an overweight position in the materials industry group and an underweight position in the diversified financials and retailing industry groups, offset some of the underperformance. The largest detractor was banking & financial services company, UniCredit S.p.A. (Italy). Additional notable detractors included global life insurer, Manulife Financial (Canada), Takeda Pharmaceutical Co., Ltd.(Japan), life insurer, Prudential Plc (United Kingdom), and cruise ship operator, Carnival Plc (United Kingdom). The top contributor to return was diversified mining company, BHP Group Plc (United Kingdom). Other notable contributors included telecommunication services provider, KDDI Corp. (Japan), multinational electric utility company, ENGIE SA (France), industrial gas company, Linde Plc (Germany), and civil construction company, Balfour Beatty Plc (United Kingdom).*

*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 portfolio holdings and characteristics are subject to change. There is no guarantee that any forecasts made will come to pass. The securities identified and described above 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.  Past performance does not guarantee future results.  For a description of our performance attribution methodology, or to obtain a list showing every holding's contribution to the overall account's performance during the quarter, please contact our product manager, Kevin Moutes, at 310-231-6116 or moutes@causewaycap.com.

Consent to Electronic Delivery

Consent to Electronic Delivery

By clicking Submit, you consent to the electronic delivery, via download from this website, of the Causeway Fund's prospectuses, privacy policies, account applications, IRA Disclosure Statement(s), IRA Custodial Agreement(s) and any other materials that may be required in connection with the information you requested, on the terms set forth below. You also agree to read these documents before investing, and agree to the terms contained in these documents, particularly the prospectus.

Access to Online Documents

To view and print the documents, you will need Adobe Acrobat Reader. If you do not have Acrobat Reader, you can download it for free at www.adobe.com. If you are unable to download, view, or print the documents, contact Causeway Funds at 866-947-7000 for assistance or to request a free paper copy of any of these documents.

Duration of Election and Consent

Your consent applies only to these documents. If you request additional information, you may be required to consent to electronic delivery again. You may withdraw your consent to electronic delivery by contacting Causeway Funds at 866-947-7000.

Costs and Risks

Causeway Funds does not charge you a fee to use our website, but you could incur expenses from an internet service provider when you access information online. Also, be aware that your internet service provider may occasionally experience system failure, and hyperlinks to documents may not function properly.

Submit
close
Ask Causeway

Ask Causeway

Thank You!