Seeking value primarily in developed markets worldwide

The Fund invests primarily in common stocks of companies in developed countries located outside the United States and of companies in the United States. Normally, the Fund invests the majority of its total assets in companies that pay dividends or otherwise seek to return capital to shareholders, such as by repurchasing their shares.

The Fund may invest up to 20% of its total assets in companies located in emerging (less developed) markets. Under normal circumstances, the Fund will invest at least 40% of its total assets in companies located in a number of developed countries outside the United States. The Fund is not required to allocate its investments in any specific percentages in any particular countries. The Investment Manager determines the country where a company is located, and thus whether a company is located in a developed country, outside the United States or in an emerging market, by referring to: its stock exchange listing; where it is registered, organized or incorporated; where its headquarters are located; its MSCI Country Classification; where it derives at least 50% of its revenues or profits from goods produced or sold, investments made, or services performed; or where at least 50% of its assets are located. These categories are designed to identify investments that are tied economically to, and subject to the risks of, investing internationally or in emerging markets. The Fund considers a country to be an emerging market if the country is included in the MSCI Emerging Markets Index.

Please see the Prospectus and Supplement for more information. Please contact [email protected] for a Fund Application.

Nav*
$ 0.00
Inception
August 13, 2015
ISIN
IE00BWT3P530
Benchmark
MSCI ACWI
Minimum investment
$1,000,000
Total expense ratio
0.86%
*As of January 27, 2020

Strategy overview

The portfolio managers discuss our Global Value strategy.

Portfolio managers

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

Performance

QTD YTD 1 year3 years Since inception
Fund -3.9%-3.9%8.2%6.2%4.5%
MSCI ACWI -3.3%-3.3%9.4%7.3%7.0%
QTD YTD 1 year3 years Since inception
Fund -3.9%-3.9%8.2%6.2%4.5%
MSCI ACWI -3.3%-3.3%9.4%7.3%7.0%
201820172016
Fund -11.1%17.8%7.7%
MSCI ACWI -9.4%24.0%7.9%
201820172016
Fund -11.1%17.8%7.7%
MSCI ACWI -9.4%24.0%7.9%

Portfolio (as of January 31, 2020)

Benchmark:
Asset Allocation
Fund
Stocks 97.8%
Cash 2.2%
Fund Characteristics
Fund Benchmark
Holdings 48 3045
Weighted avg. market cap (US $MM) $92,150 $176,691
FY2 price/earnings 11.5 15.5
Price/book value 1.5 2.4
Net assets $1,484,694.16 -
TOP 10 HOLDINGS
Security Country Percent
Volkswagen AG Germany 4.0%
Takeda Pharmaceutical Co., Ltd. Japan 3.7%
UniCredit S.p.A. Italy 3.3%
BASF SE Germany 3.2%
SYNNEX Corp. United States 3.2%
China Mobile Ltd. China 3.2%
ABB Ltd. Switzerland 3.1%
British American Tobacco plc United Kingdom 3.1%
Sabre Corp. United States 3.0%
Samsung Electronics Co., Ltd. South Korea 2.9%

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
Industrials 18.2% 10.3%
Information Technology 17.6% 17.8%
Communication Services 12.1% 8.8%
Financials 11.4% 16.4%
Health Care 11.3% 11.7%
Energy 8.8% 4.8%
Materials 8.1% 4.5%
Consumer Discretionary 4.5% 10.8%
Consumer Staples 3.1% 8.1%
Utilities 2.8% 3.5%
Real Estate 0.0% 3.2%
TOP 10 COUNTRIES
Country Strategy Benchmark
United States 36.8% 56.3%
United Kingdom 15.0% 4.7%
Germany 11.6% 2.5%
Japan 8.3% 7.1%
China 5.5% 4.0%
Switzerland 5.5% 2.8%
South Korea 4.9% 1.4%
France 3.4% 3.3%
Italy 3.3% 0.7%
Netherlands 2.4% 1.1%
Regional Allocation
  • Europe – other 41.1%
  • North America 37.9%
  • Emerging Asia 10.4%
  • Pacific 8.3%

Commentary (As of December 31, 2019)

Highlights

  • December's rising equity markets capped a calendar year of surging stock prices, as central banks, attempting to prolong economic expansion, implemented increasingly accommodative monetary policies.
  • We believe European countries may join the US and China and increase fiscal spending. To fund this spending, European governments will need to sell more bonds, which may put upward pressure on interest rates as supply meets, and potentially outpaces, demand.
  • In the absence of a recession, earnings of economically sensitive stocks should attract enough attention to garner a re-rating of valuation multiples. We seek talented senior management teams steering financially strong companies through profitability setbacks by focusing on reaccelerating earnings and cash flow.

Portfolio Attribution

Causeway Global Value UCITS Fund ("Fund") outperformed the Index during the month, due primarily to stock selection. Holdings in the energy, food beverage & tobacco, telecommunication services, utilities, and retailing industry groups contributed to performance compared to the Index. Fund holdings in the transportation, software & services, pharmaceuticals & biotechnology, and materials industry groups, along with an underweight position in the semiconductors & semi equipment industry group, detracted from relative performance. The top contributor to return was energy exploration & production company, Halliburton Co. (United States). Other notable contributors included electronic equipment manufacturer, Samsung Electronics Co., Ltd. (South Korea), mobile telecommunications operator, China Mobile Ltd. (China), power & automation technology company, ABB Ltd. (Switzerland), and British American Tobacco plc (United Kingdom). The largest detractor was enterprise management software provider, Oracle Corp.(United States). Additional notable detractors included TakedaPharmaceutical Co., Ltd. (Japan), enterprise infrastructure software company, Micro Focus International Plc (United Kingdom), robotics manufacturer, FANUC Corp. (Japan), and jet engine manufacturer, Rolls-Royce Holdings Plc (United Kingdom).

Investment Outlook

We believe that much of the global central bank monetary expansion is in the rear-view mirror. Massive liquidity creation has suppressed market volatility and favored momentum relative to value-oriented trading. With central banks curtailing accommodative policies, value stocks should eventually rebound. In the absence of a recession, earnings of economically sensitive stocks should attract enough attention to garner a re-rating of valuation multiples. This process began last year, as cyclical stocks outperformed broad indices in the last four months of 2019. In 2020, we expect investors to look to diversifying systematic risks, and risk aversion could rise with an escalation of US-Iranian conflict. Therefore, transparency of investment risks and full financial disclosure will become increasingly important. These preferences may favor well-established companies with a history of rewarding shareholders (via dividends and share buybacks) and place a greater hurdle rate of return on speculative, unprofitable companies. We seek talented senior management teams steering financially strong companies through profitability setbacks by focusing on reaccelerating earnings and cash flow. To complement these “self-help” stocks, we seek consistent cash generating companies with generous dividend payouts. In years of more traditional equity market returns, rather than runaway bull markets, stability of cash flows and income should attract investor attention.

Effective October 1, 2018, the Global Value Fund’s benchmark changed from the MSCI World Index (Gross) to the MSCI ACWI Index (Gross). Causeway believes that the MSCI ACWI Index (Gross), which includes emerging as well as developed markets, better represents the types of securities in which the strategy invests. 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.

Documents

Fund information: