Portfolio Manager David Herro discusses China’s economic slowdown and the effects it could have on European holdings within the consumer discretionary sector during a Barron’s interview.
The holdings mentioned comprise the following percentages of total net assets as of 09/30/2023:
| Security | Oakmark International Fund |
|---|---|
| Alibaba Group | 1.7% |
| Amazon | 0% |
| Baidu | 0% |
| BMW | 2.2% |
| BYD Co. Ltd. | 0% |
| JD.com | 0% |
| Kering | 2.3% |
| Mercedes-Benz Group | 2.8% |
| Prosus | 2.0% |
| Tencent Holdings | 0% |
| Tesla | 0% |
Portfolio holdings are not intended as recommendations of individual stocks and are subject to change.
Access the full list of holdings for the Oakmark International Fund here.
The information, data, analyses, and opinions presented herein (including current investment themes, the portfolio managers’ research and investment process, and portfolio characteristics) are for informational purposes only and represent the investments and views of the portfolio managers and Harris Associates L.P. as of the date written and are subject to change and may change based on market and other conditions and without notice. This content is not a recommendation of or an offer to buy or sell a security and is not warranted to be correct, complete or accurate.
Certain comments herein are based on current expectations and are considered “forward-looking statements”. These forward looking statements reflect assumptions and analyses made by the portfolio managers and Harris Associates L.P. based on their experience and perception of historical trends, current conditions, expected future developments, and other factors they believe are relevant. Actual future results are subject to a number of investment and other risks and may prove to be different from expectations. Readers are cautioned not to place undue reliance on the forward-looking statements.
The MSCI China Index captures large and mid cap representation across China A shares, H shares, B shares, Red chips, P chips and foreign listings (e.g. ADRs). With 717 constituents, the index covers about 85% of this China equity universe. Currently, the index includes Large Cap A and Mid Cap A shares represented at 20% of their free float adjusted market capitalization.
The Oakmark International Fund portfolio tends to be invested in a relatively small number of stocks. As a result, the appreciation or depreciation of any one security held by the Fund will have a greater impact on the Fund’s net asset value than it would if the Fund invested in a larger number of securities. Although that strategy has the potential to generate attractive returns over time, it also increases the Fund’s volatility.
Investing in foreign securities presents risks that in some ways may be greater than U.S. investments. Those risks include: currency fluctuation; different regulation, accounting standards, trading practices and levels of available information; generally higher transaction costs; and political risks.
Investing in value stocks presents the risk that value stocks ay fall out of favor with investors and underperform growth stocks during given periods.
