United Kingdom2.9% Financials21.7% Industrials11.3% Energy10.2% Information Technology9.2% Utilities8.9% Communication Services7.9% Consumer Staples7.1% Consumer Discretionary7.0% Health Care5.7% Materials4.7% Cash and Cash Equivalents6.3% Energy10.2% Insurance9.9% Utilities8.9% Capital Goods8.0% Banks7.9% Semiconductors & Equipment5.5% Food, Beverage & Tobacco4.8% Materials4.7% Telecommunication Services4.2% Diversified Financials3.9%
|% OF PORTFOLIO|
|Electricite de France S.A.||5.8%|
|Ping An Insurance Group Co. of China Ltd.||3.9%|
|Credit Suisse Group AG||3.7%|
|Royal Dutch Shell plc||3.6%|
|SoftBank Group Corp.||3.5%|
|Infineon Technologies AG||3.4%|
|Canadian Pacific Railway Ltd.||3.1%|
|Tencent Holdings Ltd.||3.0%|
Électricité de France SA produces, markets, and distributes electricity. It provides a wide range of natural gas, electricity and energy eco-efficiency services. It operates through five divisions Engineering, Generation, Optimization & Trading, Transmission and Distribution. The company was founded on April 8, 1946 and is headquartered in Paris, France.
Royal Dutch Shell Plc produces oil and natural gas. It operates through three segments: Upstream, Downstream, and Corporate. The Upstream segment combines the operating segments Upstream International and Upstream Americas, which have similar characteristics and are engaged in exploring for and recovering crude oil and natural gas; the liquefaction and transportation of gas; the extraction of bitumen from oil sands that is converted into synthetic crude oil; and wind energy. The Downstream segment engages in manufacturing, supply and distribution and marketing activities for oil products and chemicals; alternative energy; and CO2 management. The Corporate segment represents the support functions, comprising holdings and treasury, headquarters, central functions and its self-insurance activities. The company was founded in February 1907 and is headquartered in The Hague, Netherlands.
Source - Factset
SoftBank was founded by the charismatic Masayoshi Son as a publishing company in the 1980s. The CEO and largest shareholder has since transformed the company into one of three leading mobile communications providers in Japan. Since acquiring Vodafone's Japanese assets, SoftBank has continued to gain share by differentiating both its network and its brand.
SoftBank has continued to expand its reach through investments in both China and the US. Its acquisition of a controlling stake in Sprint targets a similar reinvigoration of the mobile assets achieved in Japan. SoftBank has also made a number of investments in the ecommerce space. The most significant thus far has been 33% in Alibaba. Management has repeatedly delivered on existing and found new growth drivers to increase shareholder value.
Infineon Technologies AG engages in the provision of semiconductor and system solutions. It operates through the following segments: Automotive; Industrial Power Control; Power Management and Multimarket; and Chip Card and Security. The Automotive segment designs, develops, manufactures, and markets semiconductor for automotive applications. The Industrial Power Control segment engages in the design, development, manufacture, and marketing of semiconductors for the generation, transmission, and economy in the use of electrical energy. The Power Management and Multimarket segment involves in the design, development, manufacture, and marketing of semiconductors for energy-efficient power supplies as well as for mobile devices and mobile phone network infrastructures. The Chip Card and Security segment designs, develops, manufactures, and markets semiconductor-based security products for card applications and network systems. The company was founded on April 1, 1999 and is headquartered in Munich, Germany.
Ferrovial SA is engaged in the investment and development of transportation infrastructures. It operates through the following segments: Construction, Services, Toll Roads, and Airports. The Construction segment designs and performs public and private works for roads, highways, airports, and buildings. The Services segment involves in the maintenance and upkeep of infrastructures, facilities, and buildings; waste collection and treatment; and rendering of other kinds of public services. The Toll Roads segment develops, finances, and operates tollways such as 407 ETR, North Tarrant Express, LBJ Express, Indiana Toll Road, Euroscut Azores, Madrid-Levante, and Ausol I. The Airports segment develops and runs Heathrow, Glasgow, Aberdeen, and Southampton Airports. The company was founded by Rafael del Pino y Moreno in December 1952 and is headquartered in Madrid, Spain.
Tencent is a leading Chinese Internet company offering an instant messaging service, a social networking site, a news/entertainment portal, and an online gaming platform. In the gaming division, Tencent is a leading provider of both casual games and massively multiplayer online games (MMOG) and utilizes in-house development and third party licensing. Its key asset is its large instant messaging user base, which allows it to cross sell and monetize other services.
Even with a relatively low level of Internet penetration, China already boasts the world's largest online population. The number of Chinese people accessing the Internet should continue to increase as physical telecommunication infrastructure is built out and as more individuals are able to afford PCs. Tencent, which already has more than 500 million active users, will benefit from increasing internet penetration to the extent it can continue to monetize its massive user base. Today Tencent derives revenue from premium instant messaging services, online advertisements, wireless messaging, and online gaming. Notably, it has become a key online gaming player in a relatively short period of time.
Barriers to entry in the Internet space are relatively low given low capital intensity, and the rapid pace of technological innovation can make the competitive environment quite dynamic. Tencent's famous "QQ" brand, user base, significant net cash balance sheet, and substantial free cash generation are key competitive advantages which may be leveraged to grow both organically and inorganically.
|Portfolio P/E Trailing 12 Months*||16.7x|
|Portfolio Price to Cash Flow*||7.4x|
|Portfolio Price to Book*||1.4x|
|Median Market Capitalization*||$37.8 B|
|Number of Holdings||43|
|7-Year Beta* (A shares vs. MSCI EAFE Index)||0.92|
|7-Year Beta* (A shares vs. MSCI AC World ex-U.S. Index)||0.90|
|Emerging Markets Exposure||21.1%|
|Active Share* (vs. MSCI EAFE Index)||92.5%|
|Active Share* (vs. MSCI AC World ex-U.S. Index)||91.9%|Basic Value52.0% Consistent Earners24.3% Emerging Franchises17.5% Cash & Cash Equivalents6.3% Large Cap (> $12 B)93.8% Mid Cap ($2.5 to $12 B)6.2% Small Cap (< $2.5 B)0.0%