Charles de Vaulx

Charles de Vaulx Premium Guru

Last Update: 02-29-2016
Related: IVA International Fund

Number of Stocks: 83
Number of New Stocks: 0

Total Value: $4,747 Mil
Q/Q Turnover: 2%

Countries: USA KOR FRA FIN JPN HKG NOR TWN CHE BEL GBR MYS DEU
Details: Top Buys | Top Sales | Top Holdings  Embed:

Charles de Vaulx Watch

  • Charles de Vaulx Answers the Question - Is Value Investing Still Relevant?

    Charles De Vaulx answered the question during the IVA Funds conference call on March 16. 


    Is value investing still relevant?

      


  • Charles de Vaulx Trims Stake in Japanese Energy Company

    Charles de Vaulx (Trades, Portfolio) of IVA Worldwide Fund made no new buys in the fourth quarter, but he made some noteworthy transactions in a variety of sectors.


    De Vaulx reduced his stake in Miura Co. Ltd. (TSE:6005), a Japanese energy company, by more than 66% with the sale of 3,795,800 shares for an average price of ¥1,560.12 ($13.70 in American currency) per share. The transaction had a -0.94% impact on de Vaulx’s portfolio.

      


  • IVA Worldwide Fund Quarterly Review - Fourth Quarter 2015

    The IVA Worldwide Fund Class A (NAV) (“the Fund”) ended the quarter on December 31, 2015 with a return of 1.00% versus the MSCI All Country World Index (“Index”) return of 5.03% bringing YTD performance to -2.47% versus the Index return of -2.36% for the same period.


    Despite bouts of volatility, global equity markets showed resilience in the fourth quarter, recovering from the very difficult previous two months. Concerns over China’s growth, which triggered the third quarter’s sell-off, were somewhat alleviated and there was a positive reaction to further monetary stimulus by China’s Central Bank at the end of October. The European Central Bank also continued to loosen monetary policy at the beginning of December, although the stimulus measures fell short of market expectations. Diverging from other global central banks, the U.S. Federal Reserve raised the benchmark interest rate by 0.25 percentage points in December. This move was largely anticipated and was well received. The price of Brent crude oil continued to drop over the quarter, hitting lows not seen in over a decade, and the broader commodities market also remained weak. Cracks in high yield deepened, as spreads widened across the market. We believe that the distress seen in this market is indicative of broader global economic problems that are not being fully incorporated by equity markets. While we are concerned by this deviation, we are also intrigued by the opportunities this environment is beginning to present in the high yield space.

      


  • IVA Funds: Do Low Rates Truly Justify Higher Valuations?

    Since the financial crisis, Central Banks around the world have launched various forms of “Quantitative Easing,” driving interest rates in developed countries to ultra-low levels, manipulating currencies worldwide and injecting massive amounts of liquidity. The growth in popularity of the “Fed Model” (a valuation model which compares the yield on 10 year Treasury bonds to the stock market’s earnings yield) over the past 30 years has led some investors to justify using higher market multiples to price securities, bidding up the price of many stocks. Some believe that even if stocks do manage to deliver returns of 3% to 5%, that would be better than holding cash which offers a negative yield after inflation. The argument that higher valuations are justifiable and that equity markets will be OK as long as rates stay low is at best a relative argument and at worst a dangerous one. We think better questions to consider are: Why are interest rates so low? Why do so many Central Banks around the world practice “Quantitative Easing” and “Financial Repression”? We believe that low rates today are symptomatic of a world where economic and financial imbalances may be bigger than ever.

      


  • United Technologies and IBM Have New Positions in James Barrow's Portfolio

    James Barrow (Trades, Portfolio) is executive director of Dallas-based investment firm Barrow Hanley Mewhinney & Strauss, the lead portfolio manager for the Vanguard Windsor II and Selected Value Funds. Barrow Hanley currently serves as a sub-adviser to more than 45 equity and fixed income mutual funds.


    During the third quarter 26 stocks got new positions in Barrow’s portfolio, and here are his most weighted new buys.

      


  • Charles de Vaulx Acquires Stake in Emerson Electric

    Charles de Vaulx (Trades, Portfolio) of IVA Worldwide Fund looks for at least one of these characteristics – financial strength, temporarily depressed earnings or entrenched franchises – when he looks for investment opportunities. He follows the principles of Benjamin Graham and Warren Buffett (Trades, Portfolio); however, whereas Buffett’s approach is to invest in American companies, de Vaulx takes a more global posture, and his third-quarter transactions reflect that.


    The guru’s most noteworthy third-quarter transaction was his purchase of a 1,674,401-share stake in Emerson Electric Co. (NYSE:EMR), a Ferguson, Missouri-based electrical equipment company, for an average price of $49.17 per share. The deal had a 1.58% impact on de Vaulx’s portfolio.

      


  • Charles de Vaulx's IVA Funds Portfolio Manager Newsletter

    Dear Shareholder,


    Over the period under review October 1, 2014 to September 30, 2015, your Funds delivered slightly negative absolute returns (-4.21% for the IVA Worldwide Class A and -2.37% for the IVA International Class A), albeit ahead of their respective benchmarks (-6.66% for the MSCI All Country World Index and -12.16% for the MSCI All Country World [ex-US] Index).

      


  • Charles De Vaulx's IVA International Fund Q3 2015 Review

    The IVA International Fund (Trades, Portfolio) Class A (NAV) (“the Fund”) ended the quarter on September 30, 2015 with a return of -5.15% versus the MSCI All Country World ex US Index (“Index”) return of-12.17% bringing YTD performance to -0.18% versus the Index return of -8.63% for the same period.

    The third quarter was marred by swings in global markets as investors became increasingly concerned by the prospect of a slowdown in China and the impact it would have on the rest of the world. These concerns spiked mid-August after China’s central bank devalued the yuan, triggering a market sell-off that was most damaging to commodities and emerging markets. In September, citing recent market turmoil and an uncertain global growth outlook, the U.S. Federal Reserve held interest rates at record lows. Carnage in various commodities - oil, copper, iron ore, platinum and also in many soft commodities continued throughout the quarter. Equities and bonds in emerging markets were also hit hard and many currencies of emerging countries fell precipitously, including the Brazilian real, the Indonesian rupiah and the Malaysian ringgit. We believe that emerging markets are going through a bust after years of capital misallocation in China, coupled with unbridled credit growth. All of these developments highlight the continued importance of investing with caution and discipline.  


  • Charles De Vaulx's Q3 2015 IVA Worldwide Fund Commentary

    The IVA Worldwide Fund Class A (NAV) (“the Fund”) ended the quarter on September 30, 2015 with a return of -3.98% versus the MSCI All Country World Index (“Index”) return of -9.45% bringing YTD performance to -3.43% versus the Index return of -7.04% for the same period.


    The third quarter was marred by swings in global markets as investors became increasingly concerned by the prospect of a slowdown in China and the impact it would have on the rest of the world. These concerns spiked mid-August after China’s central bank devalued the yuan, triggering a market sell-off that was most damaging to commodities and emerging markets. In September, citing recent market turmoil and an uncertain global growth outlook, the U.S. Federal Reserve held interest rates at record lows. Carnage in various commodities - oil, copper, iron ore, platinum and also in many soft commodities continued throughout the quarter. Equities and bonds in emerging markets were also hit hard and many currencies of emerging countries fell precipitously, including the Brazilian real, the Indonesian rupiah and the Malaysian ringgit. We believe that emerging markets are going through a bust after years of capital misallocation in China, coupled with unbridled credit growth. All of these developments highlight the continued importance of investing with caution and discipline.

      


  • Charles de Vaulx's Stocks Trading with Low P/E

    Charles de Vaulx (Trades, Portfolio) is the chief investment officer and portfolio manager at International Value Advisers, LLC (IVA). He joined the firm in May 2008. Until March 2007, de Vaulx was portfolio manager of the First Eagle Global, Overseas, U.S. Value, Gold and Variable Funds, together with a number of separately managed institutional accounts.


    De Vaulx employs a value oriented approach and will seek investments in companies of any size that typically have one or more of the following characteristics: financial strength, temporarily depressed earnings or entrenched franchises. However, the overriding attribute of such companies is that their securities offer fundamental value. He is a global investor as most of his portfolio is invested in international companies.

      


  • IVA Worldwide Fund Q2 2015 Commentary

    The IVA Worldwide Fund Class A (NAV) (“the Fund”) ended the quarter on June 30, 2015 with a return of -0.90% versus the MSCI All Country World Index (“Index”) return of 0.35%, bringing YTD performance to 0.57% versus the Index return of 2.66% for the same period.


    The quarter was marked by bouts of volatility in global markets caused by political uncertainty in Greece, anxiousness over future interest rate increases in the U.S. and turbulence in the Chinese stock market. We continue to see stretched market valuations globally, driven by ultra-low interest rates as investors focus more on relatives than fundamentals in their search for yield. As bottom-up, fundamental investors, it remains difficult for us to find quality opportunities in this environment.

      


  • Charles de Vaulx Sells Portions of Three of His Most Valuable Stakes

    French-born asset manager Charles de Vaulx (Trades, Portfolio), partner, chief investment officer and co-portfolio manager at International Value Advisers, looks for many qualities in potential investments, but the most important is fundamental value. International Value Advisers’ record has been pretty good in recent years in spite of a certain amount of volatility in the market. IVA returned 3.2% last year, nearly 17% the year before and 6.63% in 2012.


    De Vaulx left most of the 12 most valuable stakes in his portfolio untouched during the first quarter. His top two holdings – Astellas Pharma Inc (TSE:4503) and Berkshire Hathaway Inc (NYSE:BRK.A) – haven’t been touched since 2014. Neither, for that matter, have his fourth- and fifth-most valuable stakes – Oracle Corporation (NYSE:ORCL) and Samsung Electronics Co Ltd (XKRX:005930).

      


  • Charles De Vaulx On The Absurdity Of Negative Interest Rates



  • Charles de Vaulx's IVA Funds Newsletter May 2015

    Dear Shareholder:

      


  • Charles de Vaulx Comments on DeVry Education Group Inc

    Conversely, one area that hurt us this quarter was our U.S. stocks. They averaged a return of -1.6%, compared to those in the benchmark which averaged a gain of 1.2%, and detracted -0.4% from our return led by poor performance from DeVry Education Group Inc. (DV), a for-profit higher education company in the consumer discretionary sector. We believe this company is suffering unfairly from issues plaguing its competitors and we think many investors fail to recognize the quality of DeVry’s medical and nursing schools, thus we took advantage of the share price weakness to add to our position.

    From Charles de Vaulx (Trades, Portfolio)’ IVA Worldwide Fund Q1 2015 Review.  


  • Charles de Vaulx’ IVA Worldwide Fund Q1 2015 Review

    The IVA Worldwide Fund Class A (NAV) (“the Fund”) ended the quarter on March 31, 2015 with a return of 1.49% versus the MSCI All Country World Index (“Index”) return of 2.31%. Since inception on October 1, 2008, on an annualized basis, the Fund returned 10.32% versus the Index return of 8.09% for the same period.


    Global equity markets delivered a moderate gain this quarter despite some big market developments. In January, the Swiss Central Bank announced they would abolish its peg between the Swiss franc and the euro, which resulted in the Swiss franc appreciating significantly against the euro. Additionally, the European Central Bank announced they would launch a quantitative easing program in March in order to boost the region’s inflation rate. This resulted in the euro falling significantly against the U.S. dollar, at one point to a 12 year low. Lastly, the World Bank cut its forecast for global growth in January, warning that the world economy remained overly reliant on the U.S. recovery.

      


  • IVA International Fund Adds Four Positions to Portfolio

    IVA International Fund (Trades, Portfolio) added four new positions to its portfolio during the fourth quarter of 2014. The Chief Investment Officer of the firm is guru Charles de Vaulx (Trades, Portfolio).


    There are currently 92 stocks in the portfolio, valued at $2.04 million with a quarter over quarter turnover of 9%.

      


  • Charles de Vaulx Adds Four New Positions to Portfolio

    Charles de Vaulx (Trades, Portfolio) of IVA Worldwide Fund added four new positions to his portfolio, which includes 90 stocks and has a quarter over quarter turnover of 10%.


    IVA Worldwide invests in stocks believed to be at a discounted price, in relation to the intrinsic value estimate. The firm's definition of intrinsic value is "the amount that a knowledgeable investor or corporate competitor would pay - in cash - for 100% of the economic and controlling interests of a company.”

      


  • Charles de Vaulx Buys 4 New International Stocks in Fourth Quarter

    Renowned global investor Charles de Vaulx manages the IVA Worldwide Fund and purchased four new stocks for it in the fourth quarter.


    ‘The high-priced environment of the past year has rendered it difficult for de Vaulx to find low-priced stocks, and he placed the fund’s cash exposure at 35.8%. In his fourth quarter letter, de Vaulx said:

      


  • Charles de Vaulx Purchases 4 New Holdings in Q4

    Charles de Vaulx (Trades, Portfolio) joined International Value Advisers in 2008 and serves as chief investment officer and portfolio manager. Prior to IVA, he was the portfolio manager of the First Eagle Global, Overseas, U.S. Value, Gold, and Variable Funds.

    In 2001, de Vaulx and his co-manager were named Morningstar’s International Stock Manager of the Year.  


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