Diversified exposure to emerging markets, capturing value and growth
The Fund normally invests at least 80% of its total assets in equity securities of companies located in emerging markets and investments that are tied economically to emerging markets, such as common stock, preferred and preference stock, depositary receipts, including American Depositary Receipts, Global Depositary Receipts, European Depositary Receipts, Swedish Depositary Receipts and other types of depositary receipts, real estate investment trusts (“REITs”) and exchange-traded funds (“ETFs”) that invest in emerging markets securities. The Investment Manager primarily invests in common stock, but will use those other security types referred to above if, for example, they provide greater liquidity, the Fund cannot access common stock through a local market, or the yield rate of preferred or preference stock is deemed favourable. Typically, less than 10% of the Fund’s Net Asset Value will be invested in ETFs, and investment in ETFs will be limited to 15% of the Fund’s Net Asset Value.
The Fund generally invests in companies with market capitalisations of US$500 million or greater at the time of investment. However, the Fund may invest in smaller market capitalisation companies if, based on the quantitative investment approach described below, it finds an attractive investment with a lower market capitalisation and sufficient liquidity. The Fund may invest in any industry or sector, but generally will not invest more than 25% of its total assets in the equity securities of companies in a single industry. Typically, the Fund will hold a diversified portfolio of over 80 equity securities.
The Investment Manager uses a quantitative investment approach to purchase and sell equity securities and those other investments as detailed above for the Fund. The Investment Manager’s quantitative investment approach uses a proprietary computer model that analyses historical financial data, or “factors,” to assist in selecting investments as detailed above. The model currently analyses “stock specific” factors relating to valuation, growth, technical indicators (such as stock price momentum), competitive strength, and “top-down” factors relating to macroeconomics, currency, country and economic sector. Currently, the valuation factor category receives the highest overall weight in the model and stock-specific factors comprise approximately 75% of the score for a company. For each stock, the relative weight assigned to each stock-specific factor differs depending on its classification (for example, value, growth, momentum, capitalisation or other classifications). The relative weights of these stock-specific factors are sometimes referred to as “contextual weights.”. As the Investment Manager is continually seeking to improve model performance, the factors and their weightings in the model may change over time, or if the classification of a stock changes. By ranking companies based on a combination of these factors, the Investment Manager seeks to identify a portfolio of investments that will outperform the MSCI EM Index. In addition to its quantitative research, the Investment Manager’s fundamental research analysts review the quantitative outputs to attempt to identify and address special issues, such as significant corporate actions or management changes, which are difficult to detect quantitatively.
Please see the Prospectus and Supplement for more information. Please contact [email protected] for a Fund Application.
- Nav*
- €28.92
- Inception
- 10 February 2016
- ISIN
- IE00BWT3P209
- Benchmark
- MSCI Emerging Markets
- Minimum investment
- €1,000,000
- Total expense ratio
- 0.88%
Portfolio managers
Joe Gubler, CFA
Mr. Gubler is a quantitative portfolio manager at Causeway. He joined the firm in 2005 and has been a portfolio manager since January 2014. In addition to managing quantitative portfolios and conducting alpha research, Mr. Gubler also leads the efforts to maintain and enhance Causeway’s proprietary risk models. He is also a member of the operating committee.
From 1999 to 2005, Mr. Gubler worked as a software engineer, with employers ranging from startups to established businesses such as Monster.com. From 1998 to 1999, Mr. Gubler worked as a staff scientist for News Corporation, conducting studies on the RF propagation of broadcast signals. While studying astrophysics at UC San Diego, Mr. Gubler worked as a graduate research assistant in the Jet Propulsion Laboratory's stellar interferometry group.
Mr. Gubler earned a BS, cum laude, in physics from UC Irvine, an MS in physics from UC San Diego, and an MBA from the UCLA Anderson Graduate School of Management. Mr. Gubler is a CFA charterholder.
Arjun Jayaraman, PhD, CFA
Quantitative Portfolio Manager
Dr. Jayaraman is a director, quantitative portfolio manager and head of the quantitative research at Causeway and has been with the firm since January 2006. Dr. Jayaraman’s responsibilities and research include stock selection, asset allocation, risk model development, and portfolio construction.
From 2004 to 2005, Dr. Jayaraman was a portfolio manager at PanAgora Asset Management. He was the lead portfolio manager on the non-U.S. large cap core equity portfolios and was the co-portfolio manager on the global large cap core equity portfolios. From 2000 to 2004, Dr. Jayaraman managed the same portfolios at Putnam Investments, in addition to working closely with the teams that managed Putnam's traditional non-U.S. strategies. From 1998 to 2000, Dr. Jayaraman worked as a quantitative analyst at Harborview Trading Associates.
Dr. Jayaraman earned a PhD from New York University at the Stern School of Business and a BA in economics from Columbia University. Dr. Jayaraman is a CFA charterholder.
MacDuff Kuhnert, CFA
Mr. Kuhnert is a director and a quantitative portfolio manager at Causeway and has been with the firm since its inception in June 2001. Mr. Kuhnert’s responsibilities and research include stock selection, asset allocation, risk model development, and portfolio construction.
From 1996 to 2001, Mr. Kuhnert worked for the international team of the Hotchkis & Wiley division of Merrill Lynch Investment Managers (HW-MLIM) as a quantitative research associate. During his tenure at HW-MLIM, Mr. Kuhnert created and developed advanced quantitative models used in the international value investment process. He also helped develop the team’s first equity risk model.
Mr. Kuhnert earned a BA in chemistry from Dartmouth College. He is a CFA charterholder, a member of the CFA Society of Los Angeles, and a member of the Chicago Quantitative Alliance.
Ryan Myers
Mr. Myers is a quantitative portfolio manager at Causeway. He joined the firm in June 2013 and has been a portfolio manager since January 2021. His responsibilities include alpha research, stock selection, and portfolio construction.
From 2010 to 2012, Mr. Myers served as chief investment officer of Iron Castle Asset Management, an investment partnership focused on mid-cap U.S. equities. From 2007 to 2008, Mr. Myers worked as an analyst at Canyon Partners, where he covered the cable, media, telecom and satellite sectors. From 2005 to 2007, Mr. Myers was an associate for Oaktree Capital Management in the distressed opportunities group. Mr. Myers began his professional career in 2003 as an investment banking analyst at Goldman Sachs in the technology, media and telecom group.
Mr. Myers earned a BA, magna cum laude, in economics from Harvard University, where he was elected to Phi Beta Kappa. He earned an MBA from the Stanford Graduate School of Business, where he was an Arjay Miller Scholar. Mr. Myers currently serves on the Board of Trustees of the Yosemite Conservancy, an organization dedicated to supporting projects and programs that preserve Yosemite National Park and enrich the visitor experience.
Performance
Returns are based on the Fund’s net asset value, which is net of Fund fees and expenses.
Returns are from the Fund’s administrator, BNY Mellon Fund Services (Ireland) DAC.
The performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth less than their original cost and current performance may be lower than the performance quoted. Returns greater than one year are average annual total returns. All information is as of the date shown. Investment performance reflects the Investment Manager’s voluntary undertaking to limit ongoing charges during certain periods. In the absence of such voluntary undertaking, total return would be reduced. MSCI has not approved, reviewed or produced this report, makes no express or implied warranties or representations and is not liable whatsoever for any data in the report. You may not redistribute the MSCI data or use it as a basis for other indices or investment products.
Risk Disclosures:
Key Risks – The Fund is subject to market fluctations and security selection risk, foreign and emerging markets security risk, quantitative risk, and derivatives risk.
Market fluctuations and security selection risk. If the value of the Fund’s investments goes down, you may lose money. Global economies are increasingly interconnected, and political, economic and other conditions and events (including, but not limited to, war, conflicts, natural disasters, pandemics, epidemics, trading and tariff arrangements, inflation/deflation and social unrest) in one country or region might adversely impact a different country or region. Furthermore, the occurrence of severe weather or geological events, fires, floods, earthquakes, climate change or other natural or man-made disasters, outbreaks of disease, epidemics and pandemics, malicious acts, cyber-attacks or terrorist acts, among other events, could adversely impact the performance of the Fund. These events may result in, among other consequences, closing borders, exchange closures, health screenings, healthcare service delays, quarantines, cancellations, supply chain disruptions, lower consumer demand, market volatility and general uncertainty. These events could adversely impact issuers, markets and economies over the short- and long-term, including in ways that cannot necessarily be foreseen. The Fund could be negatively impacted if the value of a portfolio holding were harmed by political or economic conditions or events. Moreover, negative political and economic conditions and events could disrupt the processes necessary for the Fund’s operations. We cannot guarantee that the Fund will achieve its investment objective.
Foreign and emerging markets security risk. The value of the Fund’s securities may be affected by social, political and economic developments and laws relating to foreign investment, as well as foreign currency exchange rates. The extent of economic development, political stability, market depth, infrastructure, capitalization and regulatory oversight in emerging markets can be less than in more developed foreign markets. Other risks include trading, settlement, custodial, and other operational risks; withholding or other taxes; and the less stringent investor protection and disclosure standards of some foreign markets. All of these factors can make emerging markets securities less liquid, more volatile and harder to value. These risks are enhanced for investments in smaller capitalization companies. Quantitative risk. Data for emerging markets companies may be less available, less accurate and/or less current than data for developed markets companies. The Investment Manager’s quantitative processes and stock selection can be adversely affected if it relies on erroneous or outdated data. Any errors in the Investment Manager’s quantitative methods may adversely affect the Fund’s performance. In addition, securities selected using quantitative analysis can perform differently from the market as a whole.
Derivatives risk. Futures contracts are derivative instruments which can be volatile and involve special risks including leverage risk and basis risk. Performance greater than one year is annualized. The performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth less than their original cost and current performance may be lower than the performance quoted. Total returns assume reinvestment of dividends and capital gains distributions at net asset value when paid.
Portfolio (as of 31 March 2026)
Asset Allocation
| Table Header | Fund |
|---|---|
| Stocks | 98.0% |
| Cash | 2.0% |
Fund Characteristics
| Table Header | Fund | Benchmark |
|---|---|---|
| Holdings | 176 | 1204 |
| Weighted avg. market cap (US $MM) | $216,989 | $257,828 |
| NTM price/earnings | 8.9 | 11.5 |
| Price/book value | 1.7 | 2.2 |
| NTM EPS revision (wtd. avg.) | 20.17 | 8.24 |
| Net assets | $90,705,574.55 | - |
TOP 10 ACTIVE HOLDINGS
| Security | Country | Active weight* |
|---|---|---|
| SK hynix, Inc. | South Korea | 1.7% |
| China Construction Bank Corp. | China | 1.6% |
| Asia Vital Components Co., Ltd. | Taiwan | 1.2% |
| Gold Circuit Electronics Ltd. | Taiwan | 1.1% |
| Tencent Holdings Ltd. | China | 1.1% |
| Accton Technology Corp. | Taiwan | 1.0% |
| China Hongqiao Group Ltd. | China | 0.9% |
| Credicorp Ltd. | Peru | 0.9% |
| Delta Electronics, Inc. | Taiwan | 0.8% |
| Vedanta Ltd. | India | 0.7% |
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. “Earnings-per-share” is the portion of a company’s profit allocated to each outstanding share of common stock. “Earnings-per-share year-over-year estimate growth (next 12 months)” is the average next-12-months earnings-per-share estimate from one year ago for an individual company compared with that estimate today; note that this calculation is done on a company-by-company basis and is aggregated through a weighted average based on the individual company’s weight in the corresponding index. Also note that this characteristic is supplied directly by MSCI. Data is from the Investment Adviser’s accounting system and will differ from the Fund’s official net asset value for reasons including: differences in the accrual of certain expenses, income, and recognition of cash flows, and fund holidays.
*Active defined as Fund weight minus MSCI EM Index weight. Holdings are subject to change.
SECTOR WEIGHTS
| Sector | Fund | Benchmark |
|---|---|---|
| Information Technology | 34.3% | 31.8% |
| Financials | 16.9% | 21.5% |
| Materials | 9.3% | 7.1% |
| Industrials | 8.8% | 7.1% |
| Consumer Discretionary | 8.5% | 10.2% |
| Communication Services | 7.1% | 7.9% |
| Energy | 4.0% | 4.3% |
| Health Care | 2.7% | 3.0% |
| Other | 2.5% | 0.0% |
| Consumer Staples | 1.7% | 3.5% |
| Real Estate | 1.6% | 1.2% |
| Utilities | 0.6% | 2.4% |
TOP 10 COUNTRIES
| Country | Strategy | Benchmark |
|---|---|---|
| Taiwan | 25.6% | 22.5% |
| China | 24.3% | 25.5% |
| South Korea | 19.0% | 15.5% |
| India | 11.4% | 12.6% |
| Brazil | 3.5% | 5.1% |
| South Africa | 2.8% | 3.6% |
| Turkey | 1.8% | 0.5% |
| Mexico | 1.5% | 2.1% |
| Poland | 1.4% | 1.1% |
| Indonesia | 1.2% | 0.9% |
Regional Allocation
- Emerging Asia 83.2%
- Emerging Europe, Middle East, Africa 7.7%
- Emerging Latin America 6.6%
- North America 0.5%
Documents
Fund information:
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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.
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.
Commentary (As of 31 March 2026)
Highlights
Portfolio Attribution
The Fund modestly underperformed the Index in March 2026. We use both bottom-up “stock-specific” and top-down factor categories to forecast alpha for the stocks in the Portfolio’s investable universe. Our bottom-up valuation and competitive strength factors were positive indicators in March. Our growth, technical (price momentum), and corporate events factors were negative indicators. Our top-down macroeconomic, currency, and country/sector aggregate factors were negative indicators during the month.
During the month, Portfolio holdings in the emerging Asia region contributed to relative performance, due primarily to positive stock selection in Taiwan and India. In the emerging Europe, Middle East, and Africa (“EMEA”) region, an underweight position in Saudi Arabia detracted from relative performance. In emerging Latin America, positioning in Brazil detracted from relative performance. From a sector perspective, information technology, industrials, and materials contributed to relative performance. Energy, financials, and utilities detracted from relative performance. The greatest stock-level contributors to relative performance included overweight positions in bank, China Construction Bank Corp. (China), and electronic components manufacturer, Asia Vital Components Co., Ltd. (Taiwan), as well as an underweight position in automaker, Hyundai Motor Co., Ltd. (South Korea). The largest stock-level detractors from relative performance included overweight positions in semiconductor company, SK hynix, Inc. (South Korea), and automobile manufacturer, Kia Corp. (South Korea), as well as an underweight position in energy production company, Petroleo Brasileiro SA (Brazil).
Investment Outlook
The conflict in the Middle East remains fluid and traffic in the Strait of Hormuz has been limited. This has fueled volatility in energy prices and global equity markets. Two of the Portfolio’s largest country overweights, South Korea and Taiwan, are importers of oil and Liquefied Natural Gas (“LNG”). Rising energy prices heavily impacted stock returns in these markets in March. We continue to identify, in our view, attractive investment opportunities in these countries, due to compelling bottom-up and top-down characteristics. The Portfolio was underweight Indian equities as of quarter-end due in part to valuation considerations, which diversifies the portfolio’s energy exposure as India is also an oil importer. The Portfolio was also underweight Gulf Cooperation Council (“GCC”) countries as of quarter-end. We believe the conflict in the Middle East will eventually wind down and some semblance of normalcy will return for most economies. However, this path to normalcy may be longer for the GCC countries as some have suffered significant infrastructure damage. The conflict should further incentivize energy-importing countries to diversify away from the Middle East. While the valuations of stocks in GCC countries are increasingly attractive, we do not believe this adequately compensates for the increased risks. Amid a backdrop of rising energy prices, the new chair of the US Federal Reserve (“Fed”), Kevin Warsh, faces a challenge. He needs to determine if the rising prices are transitory as he seeks to balance inflation and growth considerations. Rising US interest rates driven by inflation concerns and a flight to safety amid market volatility have contributed to falling EM currencies.
In Causeway’s EM model, we re-estimated factor weights during the quarter. We monitor factor performance monthly and periodically adjust factor weights, letting historical risk-adjusted performance serve as our guide. The primary model update involved increasing the weight to earnings growth while modestly reducing weights to value and technical (price momentum) factors.
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 any portfolio holdings and characteristics are subject to change. There is no guarantee that any forecasts made will come to pass. Any securities identified and described do not represent all of the securities purchased, sold or recommended for the Fund. Index returns assume reinvestment of dividends and capital gains, and assume no management, custody, transaction or other expenses. The reader should not assume that an investment in any securities identified was or will be profitable. MSCI has not approved, reviewed or produced this report, makes no express or implied warranties or representations and is not liable whatsoever for any data in the report. You may not redistribute the MSCI data or use it as a basis for other indices or investment products.