Valuation drives everything, according to Sean Slein and Kimball Brooker, portfolio managers of the First Eagle Global Income Builder Fund. Investing with a perceived “margin of safety” in equities and fixed income, the fund aims to provide both current and future income.
First Eagle High Yield Fund named one of the top bond funds in IBD’s 2018 Best Mutual Fund Awards. Read the full article to learn more.
At First Eagle, we think the best way to garner a margin of safety is to look across the globe and across the capital structure. And broadly what we're seeing is that markets are fairly fully valued bottom up. There are some selective areas of the market that have been out of favor where we're able to put capital to work, but we're seeing more opportunities to trim positions that we have been holders of for a decade or longer that have reached full valuation today.
Kimball Brooker Jr. and Sean Slein discuss First Eagle Investment Management, LLC and the Global Income Builder Fund.
A disciplined value strategy may provide investors with a more tolerable experience in the downward-trending phase and a potentially rewarding experience across the full market cycle.