Letters
At Lyrical, we support our clients with frequent, insightful communication
2022 was a mixed year. Most significantly, it was the worst down year for the S&P 500 since 2008. But we ended the year with strong fourth quarter performance and outperformed the S&P 500 for the second year in a row.
In 2021, the U.S. Value Equity-EQ and U.S. Value Equity-CS composites produced gross returns of +30.5% (+29.6% net) and +32.1% (+31.0% net), respectively. Comparatively, the S&P 500 and S&P 500 Value produced total returns of +28.7% and +24.9%, respectively.
In 2021, the International Value Equity composite produced a gross return of +16.9% (+16.1% net). Comparatively, the MSCI EAFE and MSCI EAFE Value produced total returns of +11.3% and +10.9%, respectively.
We had a good year, beating both the World and World Value Indices by around 100 bps, and we continue to think we are still in the early stages of a value upcycle
In 2020, the U.S. Value Equity-EQ and U.S. Value Equity-CS composites produced gross returns of +13.6% (+12.8% net) and +13.2% (+12.1% net), respectively. Comparatively, the S&P 500 and S&P 500 Value produced total returns of +18.4% and +1.4%, respectively.
In 2020, the International Value Equity composite produced a gross return of +6.3% (+5.5% net). Comparatively, the MSCI EAFE and MSCI EAFE Value produced total returns of +7.8% and -2.6%, respectively.
The pandemic tested our mettle, but our strategy and the companies in our portfolio navigated well through the volatile environment. We seek to own attractive businesses at attractive valuations, and this discipline helped us manage through a challenging time with confidence.
In 2019, the U.S. Value Equity-EQ and U.S. Value Equity-CS composites produced gross returns of +26.5% (+25.6% net) and +24.3% (+22.8% net), respectively. Comparatively, the S&P 500 and Russell 1000 Value produced total returns of +31.5% and +26.5%, respectively.
In 2018, the U.S. Value Equity-EQ and U.S. Value Equity-CS composites produced gross returns of -21.0% (-21.6% net) and -17.9% (-18.9% net), respectively. Comparatively, the S&P 500 and Russell 1000 Value produced total returns of -4.4 % and -8.3%, respectively.
In 2017, the U.S. Value Equity-EQ and U.S. Value Equity-CS composites produced gross returns of +19.0% (+18.1% net) and +22.7% (+21.3% net), respectively. Comparatively, the S&P 500 and Russell 1000 Value produced total returns of +21.8% and +13.7%, respectively.
In 2016, the U.S. Value Equity-EQ and U.S. Value Equity-CS composites produced gross returns of +16.0% (+15.1% net) and +16.3% (+14.9% net), respectively. Comparatively, the S&P 500 and Russell 1000 Value produced total returns of +12.0% and +17.3%, respectively.
In 2015, the U.S. Value Equity-EQ and U.S. Value Equity-CS composites produced gross returns of -5.0% (-5.7% net) and -5.1% (-6.3% net), respectively. Comparatively, the S&P 500 and Russell 1000 Value produced total returns of +1.4% and -3.8%, respectively.
In 2014, our U.S. Value Equity-EQ and U.S. Value Equity-CS composites returned +13.4% and +14.1%, respectively, compared to +13.7% for the S&P 500 Index and +13.5% for the Russell 1000 Value.
*Please note that we have included historical investment letters and news items in their original form. We have included additional and updated important notes and disclaimers at the Notes & Disclaimers section of this website. The information in this section is not complete without, and must be read in conjunction with, such notes and disclaimers.
