Global Value Equity Strategy
The Lyrical Asset Management Global Value Equity strategy is a concentrated portfolio selected from the universe of the largest 2,500 companies in the world’s developed markets.
Strategy Materials
Overview
Strategy Description & Investment Objective
Like Lyrical’s other strategies, Global Value Equity is grounded in process. The portfolio normally includes 55-75 best ideas, diversified by sector, industry, and country. Active Share is typically very high, at 95% or higher. Tax-efficiency has also been high, with turnover suggesting an average holding period of seven years.
Portfolio Managers
Andrew Wellington
Founder, Chief Investment Officer
Dan Kaskawits, CFA
Portfolio Manager
John Mullins
Portfolio Manager
Product Description
- 55-75 global listed stocks
- Selected from 2,500 of the largest companies in the world’s developed markets
- Pure bottom-up
Stock Selection
- Value
- Quality
- Analyzability
Strategy Details
As of 09/30/2024
wdt_ID | Information | Data |
---|---|---|
1 | Selection Universe | 1,000 largest stocks traded on a U.S. exchange and 1,500 largest non-U.S. developed market stocks |
2 | # of Holdings | Approximately 55-75 stocks |
3 | Portfolio Weighting | Capitalization-scaled product (modified equal-weight) |
4 | Targeted Outperformance | 500 bps (MSCI World) |
5 | Industry Constraints | Limit of five per industry |
6 | Country Constraints | Index Weight +10% |
7 | Max Position Size | 5% at cost |
8 | Wtd. Avg. / Median Market Cap | $31.5B / $13.6B |
9 | Active Share | 98% vs. MSCI World |
Strategy Information
Strategy Accessibility
As of 03/31/2023
wdt_ID | SMA (EQ) - Perf Fee | SMA (CS) - Flat Fee | SMA (CS) - Perf Fee | UCIT | |
---|---|---|---|---|---|
12 | Inception | 01/01/2009 | 08/01/2013 | 08/01/2013 | 04/19/2010 |
13 | Benchmark | S&P 500 | S&P 500 Value | S&P 500 Value | S&P 500 |
14 | Management Fee | 0.75% | 0.75% | 0.25% | 0.75% |
15 | Performance Fee | 20.0% | 0.00% | 20.0% | 20.0% |
16 | Minimum Investment | $2,500,000 | $5,000,000 | $5,000,000 | |
17 | Liquidity | Monthly | Daily | Daily | Daily |
Performance
U.S. Value Equity Composite – EQ Inception: 01/01/2009
U.S. Value Equity Composite – CS Inception: 08/01/2013
As of 04/30/2023
wdt_ID | Fund Class | 1MO | 3MO | YTD | 1YR | 3YR | 5YR | 10YR | Since Inception |
---|---|---|---|---|---|---|---|---|---|
1 | U.S. Value Equity - EQ (Gross) | ||||||||
2 | U.S. Value Equity - EQ (Net) | ||||||||
3 | U.S. Value Equity - CS (Gross) | ||||||||
4 | U.S. Value Equity - CS (Net) | ||||||||
7 | S&P 500^ | ||||||||
8 | S&P 500 Value^^ |
As of 03/31/2023
wdt_ID | Fund Class | 3MO | YTD | 1YR | 3YR | 5YR | 10YR | Since Inception |
---|---|---|---|---|---|---|---|---|
1 | U.S. Value Equity - EQ (Gross) | |||||||
2 | U.S. Value Equity - EQ (Net) | |||||||
3 | U.S. Value Equity - CS (Gross) | |||||||
4 | U.S. Value Equity - CS (Net) | |||||||
7 | S&P 500^ | |||||||
8 | S&P 500 Value^^ |
As of 12/31/2022
wdt_ID | Strategy Composite | 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 |
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
1 | U.S. Value Equity - EQ (Gross) | 80.0% | 25.2% | ||||||||||||
2 | U.S. Value Equity - EQ (Net) | 68.3% | 22.4% | ||||||||||||
3 | U.S. Value Equity - CS (Gross) | ||||||||||||||
4 | U.S. Value Equity - CS (Net) | ||||||||||||||
7 | S&P 500^ | 26.5% | 15.1% | ||||||||||||
8 | S&P 500 Value^^ |
These results are unaudited and subject to revision, are for a composite of all accounts, and show all periods beginning with the first full month in which the advisor managed its first account in this strategy. Net returns include a 1.25% per annum base fee from inception through March 2020 and a 0.85% per annum base fee from April 2020 onward. An individual client’s performance will vary depending on their specific fee schedule. The net returns also include the deduction of relevant expenses, including trading costs, but do not reflect the deduction of custodial fees.
In the interest of our clients, reporting as to positions in transition are lagged at our discretion. Generally, securities which have not been purchased for all accounts are not reflected as held and sales of positions which remain in any client accounts similarly are not reflected. Specific investments described herein do not represent all investment decisions made by Lyrical Asset Management LP (“LAM”). The reader should not assume that investment decisions identified and discussed were or will be profitable. Specific investment advice references provided herein are for illustrative purposes only and are not necessarily representative of investments that will be made in the future.
The foregoing should not be deemed an offer or a solicitation of an offer to invest in any fund. Any such offering can only be made following a one-on-one presentation, and only to qualified investors in those jurisdictions where permitted by law. Past performance is not necessarily indicative of future results. Individual results may vary based on timing of contributions and/or other factors. The foregoing information has not been provided in a fiduciary capacity, and it is not intended to be, and should not be considered as, impartial investment advice.
The S&P 500® Value draws constituents from the S&P 500®. S&P measures value using three factors: the ratio of book value, earnings, and sales to price. S&P style indices divide the complete market capitalization of each parent index into growth and value segments. Effective 5/21/2020, the benchmark was changed retroactively to the S&P 500® Value Index. The agreement with the licensor of the prior index concluded on that date. Any indices shown are provided for illustrative purposes only, are unmanaged, reflect reinvestment of income and dividends and do not reflect the impact of advisory fees. Investors cannot invest directly in an index. Comparisons to indexes have limitations because indexes have volatility and other material characteristics that may differ from the composite.
Holdings
Top 10 Holdings
As of 09/30/2024
wdt_ID | Name | Country | Industry | Mkt Cap ($Bn) | Weight |
---|---|---|---|---|---|
1 | Ameriprise Financial, Inc. (AMP-US) | United States | Investment Managers | $46.00 | 2.80 |
2 | eBay Inc. (EBAY-US) | United States | Investment Banks/Brokers | $31.80 | 2.70 |
3 | HCA Healthcare Inc (HCA-US) | United States | Managed Health Care | $104.00 | 2.90 |
4 | Ashtead Group plc (AHT-LON) | United Kingdom | Integrated Oil | $33.90 | 2.70 |
5 | EXOR N.V. (EXO-NL) | Netherlands | Other Transportation | $21.80 | 2.60 |
6 | Fidelity National Information Services, Inc. (FIS-US) | United States | Semiconductors | $45.50 | 2.80 |
7 | Gen Digital Inc. (GEN-US) | United States | Finance/Rental/Leasing | $16.80 | 2.80 |
8 | Flex Ltd. (FLEX-US) | United States | Property/Casualty Insurance | $13.30 | 2.60 |
9 | United Rentals, Inc. (URI-US) | United States | Managed Health Care | $53.10 | 3.20 |
10 | NRG Energy, Inc. (NRG-US) | United States | Electronic Production Equipment | $18.80 | 3.00 |
Portfolio holdings are subject to change and should not be considered investment advice.
Weightings
As of 09/30/2024
Note: No exposure to Consumer Staples, Materials, or Real Estate
Annual Letters
Disclosures
LAM claims compliance with the Global Investment Performance Standards (GIPS®) and has prepared and presented this report in compliance with the GIPS standards. LAM has been independently verified for the periods from January 1, 2009 through December 31, 2021. The verification reports are available upon request. A firm that claims compliance with the GIPS standards must establish policies and procedures for complying with all the applicable requirements of the GIPS standards. Verification provides assurance on whether the firm’s policies and procedures related to, as well as the calculation, presentation, and distribution of performance, have been designed in compliance with the GIPS standards and have been implemented on a firm‐wide basis. LAM is a U.S.-based registered investment adviser that provides financial services to individual and institutional investors. Registration with the SEC does not imply a certain level of skill or training.
To receive a GIPS® compliant presentation please visit the Lyrical Asset Management GIPS® Page.