This morning’s election results once again drove home the futility of human efforts to predict the future.
The United Kingdom’s vote to leave the European Union has already led to signficant turbulence in global currency and securities markets. Beyond this immediate reaction, we believe that political and economic uncertainty could continue for several years as the UK negotiates its new relationship with the EU.
In March 2015 First Eagle Investment Management’s Global Value Team launched a new strategy that focuses on international small-cap value stocks. In this PMs’ Perspective, Mark Cooper and Manish Gupta, managers of the new strategy, explain how and why we’ve created it.
In the past few years, gold and gold-mining stocks have been among the weakest performers in our Global Value and International Value strategies. Given the dramatic decline in some of these holdings, clients have questioned their presence in our portfolios. We believe that gold and gold-mining stocks continue to have a fundamental place in our Global Value and International Value strategies. We’ve organized this paper around the three major reasons for this conviction.
Kimball Brooker talks in depth about what First Eagle's Global Value team looks for when considering investments in holdings companies.