Chautauqua International Growth Strategy

OVERVIEW

The Chautauqua International Growth Strategy invests in equity securities of non-U.S. companies with large market capitalizations. The strategy will normally be diversified among at least three countries. The strategy invests primarily in developed markets but may invest in emerging and less developed markets. The portfolio contains high-quality companies that employ better governance and disclosure, more conservative accounting, less financial leverage and “best-in-class” management. This reduces the risk of negative surprises and mitigates the risk of loss, which is a primary concern. In addition to generating high risk-adjusted returns, the approach creates upside market participation and downside protection.

Portfolio Construction

  • Concentrated portfolio of generally 25–35 stocks
  • Positions are typically 1%–6% at the time of purchase
  • Market caps in excess of $5 billion at the time of purchase
  • Sector weights limited to 50% of portfolio
TEAM

For more information, contact David Lubchenco or the Intermediary Specialist in your region.

COMMENTARY

Q3 2018 International and Global Growth Equity Strategies

In the third quarter, issues surrounding trade policy created outsized impacts on the global equity markets. The trade war between the United States (U.S.) and China picked up considerable steam, and weakness in consumption and industrial production in China have been exacerbated. In contrast, economic conditions in the U.S. continued to outperform because of the effects from tax cuts and stimulus measures instituted earlier in the year. Elsewhere, the European Central Bank (ECB) has expressed concerns over a loss of confidence due to the trade war with the U.S., in addition to stalled negotiations with the United Kingdom (U.K.) regarding Brexit. 

Read Full International and Global Commentary

PERFORMANCE

Annualized Returns (%)

 3-MonthYTD1-Year3-Year5-Year10-YearSince InceptionInception Date
Chautauqua International Growth (gross) -0.92 0.96 18.21 10.78 10.43 6.30 8.43 1/1/06
Chautauqua International Growth (net) -0.99 0.83 17.91 10.38 10.04 6.01 8.19 1/1/06
MSCI ACWI ex-U.S. GD -2.39 -3.44 7.79 5.56 6.48 3.01 4.85
Excess Return (net) 1.40 4.27 10.12 4.82 3.56 3.00 3.34


Annual Total Returns (%)

 20172016201520142013201220112010200920082007
Chautauqua International Growth (gross) 37.04 -0.09 5.11 0.01 14.49 12.38 -9.85 1.52 63.39 -50.03 29.21
MSCI ACWI ex-U.S. GD 27.77 5.01 -5.25 -3.44 15.78 17.39 -13.33 11.60 42.14 -45.24 17.12

*Data as of 6/30/18