Portfolio Manager since 1997
International Equity Fund
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YTD Return
Return is shown net of fees. See performance below for additional disclosure.
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Total Assets
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Morningstar Rating
Overall rated 3 stars for the period ending 12/31/2019 out of 628 Foreign Large Blend Funds. Morningstar rankings are based on risk-adjusted returns and the Overall Morningstar Rating for a fund is derived from a weighted average of the performance figures associated with its three, five and ten year Morningstar Ratings metric.
Profile
The Cambiar International Equity Fund is a diversified portfolio that invests primarily in large-cap companies based outside of the U.S. The starting universe for the Fund includes any international company with a market cap above $5 billion. Cambiar’s quality and value bias will result in a portfolio overweight to developed markets, and subsequent underweight in emerging markets.
Portfolio Construction:
- 40-50 International stocks
- Country Limit: 25% (at cost)
- Emerging Markets Limit: 15% (at cost)
Key Facts
- Ticker
- CAMIX
- Inception Date
- 8/31/1997
- Minimum
- $2,500
- Gross Expense
- 1.10%
- Net Expense
- 1.00%
Waivers are contractual until March 1, 2021.
Portfolio Managers
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Portfolio Manager since 2020
Performance
Returns greater than 1 year are annualized. The performance data quoted represents past performance and 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 more or less than their original cost and current performance may be lower or higher than the performance quoted. Returns assume reinvestment of all dividend and capital gains distributions. The performance data quoted for periods prior to September 9, 2002 is that of the Cambiar International Equity Trust, a similarly managed Fund. This Fund was not registered under the Investment Company Act of 1940. If the Fund had been registered, performance may have been lower. Investor Share Class: Expense ratio is 1.10% (gross); 1.00% (net). Cambiar Investors, LLC has contractually agreed to reduce fees and reimburse expenses in order to keep net operating expenses from exceeding 0.90% of the average daily net assets of each of the Fund’s share classes until March 1, 2020. Absent these waivers, total return would be reduced. For performance current to the most recent month-end, please call 1-866-777-8227. MSCI EAFE Index (Europe, Australasia, Far East) is a free float-adjusted market capitalization index that is designed to measure developed market equity performance, excluding the U.S. & Canada. The index is unmanaged and one cannot invest directly in an index.
The Fund charges a 2.00% redemption fee on redemptions of shares held for less than 90 days.
Composition
Top 10 holdings
Sector Weights (%)
Attributes
RISK STATISTICS
Active Share
Top Countries (%)
Cap Gains & Income
Disclosures
Mutual fund investing involves risk, including the possible loss of principal. In addition to the normal risks associated with investing, investments in international investments may involve risk of capital loss from unfavorable fluctuation in currency values, from differences in generally accepted accounting principles or from economic or political instability in other nations. Emerging markets involved heightened risks related to the same factors as well as increased volatility and lower trading volume. The Cambiar International Equity Fund may invest in derivatives, which are often more volatile than other investments and may magnify the Fund’s gains or losses. There can be no assurance that the Fund will achieve its stated objectives.
To determine if a Fund is an appropriate investment for you, carefully consider the Fund’s investment objectives, risk factors and charges and expenses before investing. This and other information can be found in the Fund’s summary or statutory prospectus which can be obtained by clicking here or calling 1-866-777-8227. Please read it carefully before investing. There is no guarantee that the Funds will meet their stated objectives.
Performance data quotes are past performance and 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 more or less than their original cost and current performance may be lower or higher than the performance quoted. For performance data current to the most recent month-end, please call 1-866-777-8227.
©2020 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
The Morningstar RatingTM for funds, or “star rating”, is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product’s monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The Morningstar Rating does not include any adjustment for sales loads. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. CAMIX was rated against 628 Foreign Large Blend funds over a three year period, 495 over a five year period and 372 over a ten year period. With respect to these Foreign Large Blend funds, CAMIX received a rating of 1 stars, 2 stars, and 4 stars respectively. Past performance is no guarantee of future results. Morningstar Rating is for the investor share class only; other classes may have different performance characteristics.
Price/Earnings F1Y is a calculation that divides the current share price by the estimates of earnings in the next four quarters. Debt/Equity – Long Term is a calculation that takes interest-bearing, long-term debt divided by shareholder equity. EPS Growth – Long Term is a calculation that takes the company’s estimated profits for five years divided by the outstanding shares. Active share is a holdings-based measure of active management representing the percentage of securities in a portfolio that differ from those in the benchmark index. Alpha is a measure of risk-adjusted performance. Beta is a measure of risk in relation to the market or benchmark. The Sharpe Ratio is a direct measure of reward-to-risk and is calculated by subtracting the risk-free rate from the rate of return for a portfolio and dividing the result by the standard deviation. Standard Deviation is a statistical measure of historical volatility; a measure of the extent to which numbers are spread around their average. R-Squared measures how closely a portfolio’s performance correlates with the performance of a benchmark index. Risk stats are based off a five-year time frame. These calculations are not a forecast of the Fund’s future performance.
The MSCI EAFE® Index (Europe, Australasia, Far East) is a free float-adjusted market capitalization index that is designed to measure developed market equity performance, excluding the U.S. & Canada. The index returns do not reflect any management fees, transaction costs or expenses. Individuals cannot invest directly in an index.
This material represents the portfolio manager’s opinion and is an assessment of the market environment at a specific point in time and is not intended to be a forecast of future events, or a guarantee of future results. This information should not be relied upon by the reader as research or investment advice or a specific recommendation of securities.
Total Assets represents assets under management for all share classes combined and are subject to change.
Cambiar Funds are distributed by SEI Investments Distribution Co., 1 Freedom Valley Dr. Oaks, PA 19456, which is not affiliated with the Advisor.
Cambiar Funds are available to US investors only. Strategies included within the Separate Account section offer are not mutual funds and are not affiliated with SEI Investments Distribution Co.
Commentary
Global Markets – 4Q19 Review
International developed equities (defined as the MSCI EAFE Index) posted a fourth-quarter gain of 8.2%, closing out 2019 with a calendar-year return of 22%. The 4Q upward trajectory in equities was in stark contrast to the selling vortex witnessed in the 2018 holiday season, as investor sentiment was buoyed by news of a pending trade deal between the U.S. and China, a continued accommodative posture by major central banks, and hopeful progress on the Brexit front with the landslide election of PM Boris Johnson.
Investment style played a material role in portfolio returns in 2019, as international growth stocks outperformed the international value counterparts by a wide margin (over 1100 basis points). Although Cambiar’s investment discipline provides some degree of opportunism to invest in growth companies, price sensitivity is an important consideration to the buy decision – thus a spread of this magnitude makes it a challenge to keep pace. It is worth noting that style divergence waned in the second half of the year, thus providing a more level playing field.
The end of 2019 also brings with it the closeout of the 2010s. The cumulative 71% return for international equities over the past decade is certainly solid on an absolute basis – but seems rather lackluster when compared to the 256% return for the S&P 500 Index. The below table provides cumulative returns for the past four decades:
Home country bias certainly benefited investors in the 2010s; that said, extending the timeframe a bit illustrates the virtues of diversification within one’s equity portfolio. Given the decade-by-decade change in leadership in the above table, perhaps the coming decade will bring with it an improvement in investor sentiment towards international equities.
Certain information contained in this communication constitutes “forward-looking statements”, which are based on Cambiar’s beliefs, as well as certain assumptions concerning future events, using information currently available to Cambiar. Due to market risk and uncertainties, actual events, results, or performance may differ materially from that reflected or contemplated in such forward-looking statements. All information provided is not intended to be, and should not be construed as, investment, legal or tax advice. Nothing contained herein should be construed as a recommendation or endorsement to buy or sell any security, investment or portfolio allocation. Securities highlighted or discussed have been selected to illustrate Cambiar’s investment approach and/or market outlook. The portfolios are actively managed and securities discussed may or may not be held in client portfolios at any given time, do not represent all of the securities purchased, sold, or recommended by Cambiar, and the reader should not assume that investments in the securities identified and discussed were or will be profitable. As with any investments, there are risks to be considered. All material is provided for informational purposes only and there is no guarantee that the opinions expressed herein will be valid beyond the date of this commentary.
Any characteristics included are for illustrative purposes and accordingly, no assumptions or comparisons should be made based upon these ratios. Statistics/charts are based upon third-party sources that are deemed reliable; however, Cambiar does not guarantee its accuracy or completeness. As with any investments, there are risks to be considered. Past performance is no indication of future results. All material is provided for informational purposes only and there is no guarantee that any opinions expressed herein will be valid beyond the date of this communication.