Charles de Vaulx

Charles de Vaulx

Last Update: 2014-05-30
Related: IVA International Fund

Number of Stocks: 98
Number of New Stocks: 0

Total Value: $5,090 Mil
Q/Q Turnover: 2%

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

Charles de Vaulx Watch

  • “Patience is a necessary virtue for value investors” – A Look into the International Value Investor Charles de Vaulx

    “Patience is a necessary virtue for value investors; patience to see the market recognize some value it was previously ignoring; or, more to the case now, patience to wait for the fat pitch, free of the short-term vagaries of benchmarks.”


    -Charles de Vaulx (Trades, Portfolio)

      


  • Charles de Vaulx's Semi-Annual IVA Funds Letter from the Portfolio Managers

    April 30, 2014


    Dear Shareholder,

      


  • IVA International's Charles De Vaulx Reports His Year End Top Stocks

    Charles De Vaulx of the IVA Funds reported his third quarter holdings this past week. In October the IVA Funds celebrated their fifth year in the business. The fund maintains a dual investment approach which is split into short- and long-term investments. IVA reports that their short-term (12 to 18 months) investments are in order to preserve capital while their longer term (5 to 10 years) they try to perform better that their equity benchmark. The fund also reported that over the past five years, they achieved both of these goals with their investments.


    Over the past quarter Charles De Vaulx in his IVA Worldwide Fund bought nine new stocks bringing the total number of stocks to 102 valued at $5.064 billion. The following five companies are De Vaulx’s largest holdings as of the close of the fourth quarter.

      


  • Charles De Vaulx IVA Worldwide Fund Quarterly Review - Fourth Quarter 2013

    The IVA Worldwide Fund Class A (NAV) ended the quarter on December 31, 2013 with a return of 3.80% compared to the MSCI All Country World Index ("Index") return of 7.31%. This brings our year-to-date return to 16.93% versus the Index return of 22.80% for the same period. We witnessed another quarter of equity markets trending higher, despite news that the Federal Reserve would begin to taper its bond buying program in 2014 and despite unremarkable economic growth around the world. We found a few opportunities this quarter in what we view as reasonably priced U.S. and European stocks, which helped to offset some trimming in equities that we believe are close to full valuation. Therefore our equity exposure was unchanged over the period at 52.8%.


    Our underperformance this quarter versus the benchmark was due to our multi-asset class approach with our cash exposure (31.7% at quarter-end) being the largest detractor from relative results. While we believe our exposure to gold bullion (3.0% at quarter-end) is a good hedge against currency debasement in our portfolio, especially with our cautious positioning and cash allocation, it was one of the largest detractors from our return this period as it averaged a return of -9.3% and detracted -0.3% from our performance. Even though our corporate bonds performed well on an absolute basis, averaging a gain of 4.0% led by a few euro denominated bonds, they were among our detractors from relative results along with our sovereign bonds, which averaged a return of -0.4%. Collectively, fixed income added about 0.3% to our return this period, with our corporate bonds representing 6.8% of the portfolio and our sovereign bonds comprising 5.7% of the portfolio at quarter-end. Even though it was our exposure to cash, gold and fixed income that led to our underperformance this quarter in rising markets, it is these assets that we believe help protect the portfolio in down markets and help mitigate overall portfolio volatility.

      


  • Charles De Vaulx Annual Investor Letter - Now Is the Time for a Focus on Loss Avoidance

    Dear Shareholder,


    First and foremost, we are proud and honored that we celebrated the five year anniversary of your IVA Funds at the close of this past quarter. As we explained in a recent newsletter (“Five Years in Review” October 2013, available on our website), our ability to protect on the downside was a large contributor to both our absolute and relative outperformance over this five-year period. Overall good stock picking equally played a significant part in achieving our goals. We are also privileged to work with a great team, both our investment team where we are helped by ten analysts and four traders, as well as our colleagues who support our overall business in operations, compliance, accounting, sales and marketing, human resources and technology. As for our clients who have entrusted their capital with our stewardship, we thank you for your support and allowing us to do what we love to do, and doing it in our idiosyncratic way. Come to think of it, we, too, are clients as the forty three of us working for International Value Advisers, LLC (“IVA”) have well north of $100 million of our own money in the Funds and other products we manage.

      


  • Charles De Vaulx's Top Third Quarter Stocks

    Charles De Vaulx of the IVA Funds reported his third quarter holdings this past week. In October the IVA Funds celebrated their fifth year in the business. The fund maintains a dual investment approach which is split into short- and long-term investments. IVA reports that their short-term (12 to 18 months) investments are in order to preserve capital while their longer term (5 to 10 years) they try to perform better that their equity benchmark. The fund also reported that over the past five years, they achieved both of these goals with their investments.

    Over the past quarter Charles De Vaulx in his IVA Worldwide Fund bought nine new stocks bringing the total number of stocks to 102 valued at $4.858 billion. The following five companies are De Vaulx’s largest holdings as of the close of the third quarter.  


  • International Value Adviser's De Lardemelle on French Stocks and DeVry

    Chuck De Lardemelle, founding partner at Charles de Vaulx International Value Advisers, discusses French stocks and why he likes for-profit education company DeVry (DV):

      


  • IVA Funds - Five Years in Review

    The IVA Funds celebrated their five year anniversary on October 1, 2013. We have a dual investment approach at IVA. Over the short-term (12-18 months), we try to preserve capital, while over the longer term (i.e. over a full economic cycle, 5-10 years), we attempt to perform better than our equity benchmark. Over this five year period we delivered on both of these goals. This was achieved because of our emphasis on protecting the downside, good stock picking, and our multi-asset class approach. Since inception on October 1, 2008 through September 30, 2013, on an annualized basis, the IVA Worldwide Fund Class A (NAV) returned 11.73% versus the MSCI All Country World Index return of 7.71%, and the IVA International Fund Class A (NAV) returned 11.44% versus the MSCI All Country World (ex-U.S) Index return of 6.26%.

    Additionally, as of September 30, 2013, both Funds performed well on a Morningstar risk-adjusted return basis and compared to their peers as defined by Morningstar. The IVA Worldwide Fund Class A (NAV) delivered a 10.33% risk-adjusted return for the five year period, ranking 2 out of 303 Funds (IVA Worldwide Fund Class I ranked 1 out of 303 Funds) in the Morningstar world allocation category. The IVA International Fund Class A (NAV) delivered a 10.04% risk-adjusted return over the same period, ranking 6 out of 64 Funds (IVA International Fund Class I ranked 5 out of 64 Funds) in the Morningstar foreign small/mid blend category.  


  • Charles De Vaulx - Transcript of Sept. 10, 2013 Conference Call with Investors



  • Charles de Vaulx - Buying Good Companies Is Better Than Investing in "Net-Nets"

    Charles de Vaulx is a well known name among value investors.

    He defines value investing as finding discrepancies between the value of businesses and the price they are trading for in the market.  


  • Charles de Vaulx's IVA Worldwide Fund Review Second Quarter 2013

    The IVA Worldwide Fund Class A (NAV)(IVWAX) ended the quarter on June 30, 2013 with a return of 0.47% compared to the MSCI All Country World Index ("Index") return of -0.42%. This brings our year-todate return to 6.67% versus the Index return of 6.05% for the same period.

    It was a tale of two halves this quarter. Global equity markets rose until May 22 then primarily fell on indications that the Federal Reserve might scale back its bond buying program and end it by mid-2014, earlier than expected, if the U.S. economy continues to improve and the unemployment rate falls to 7%. The MSCI All Country World Index (Net) fell –6.02% from May 22, 2013 through June 30, 2013, while the IVA Worldwide Fund Class A (NAV) fell –2.58%, capturing only 43% of the downside. Our resiliency over this period was largely due to our multi-asset class approach, especially cash, which helps mitigate overall portfolio volatility and protects the portfolio on the downside. Despite the equity market selloff at the end of the quarter, which provided an opportunity to initiate or add to a few positions, many securities we own got closer to our intrinsic value estimate over the period and, as disciplined investors, we trimmed or exited these positions, thus raising cash. Our cash exposure rose to 28.4% on June 30 from 21.1% on March 31. Cash is a byproduct of manipulated interest rates, fully priced equity markets and our inability to find mispriced securities.  


  • Charles de Vaulx IVA Worldwide Fund Quarterly Review

    The IVA Worldwide Fund Class A (NAV) ended the quarter on March 31, 2013 with a return of 6.16% compared to the MSCI All Country World Index (Net) return of 6.50%. Since inception on October 1, 2008, on an annualized basis, the Fund returned 11.64% versus the Index return of 6.89% for the same period. Our equities (ex-gold mining stocks) performed well over the quarter averaging a return of 10.8% versus the Index at 6.5%. The Fund benefited from good stock picking within the technology, consumer discretionary, and health care sectors as well as solid returns from U.S. and Japanese equities. Our technology stocks averaged a return of 16.8% versus the Index at 4.4%, adding 2.2% to the return, led by one of our U.S. holdings that benefited from a takeover battle and one of our Japanese holdings that reported better than expected revenue and profit growth as well as announced a share buyback. Additionally, our consumer discretionary and health care stocks together contributed 1.9% to the return with all individual holdings in positive territory; however, our underweight exposure to healthcare versus the Index detracted from relative results. On the other hand, our holdings in the utilities and telecommunication services sectors lagged those in the Index and together these sectors detracted about -0.1% from our return versus the Index adding almost 0.4%. By country, our U.S. and Japanese stocks delivered double-digit gains, 13.3% and 14.7% (in USD) respectively, and together contributed 5.5% to the return due to good security selection and overweight positioning to Japan. In contrast, select holdings in Norway and South Korea underperformed and together these countries detracted about -0.1% from the return.

    Over the quarter, our USD cash position rose to 21.1% from 16.8% on December 31, reaching its highest level since April 2010, while our equity exposure fell to 57.9% from 61.5% last quarter. We trimmed or sold a few stocks where the price had gotten closer to or met our intrinsic value estimate and we believe our equity exposure today consists overwhelmingly of well-capitalized, well-managed, high quality companies with many positioned to benefit from pricing power in an inflationary environment. While our exposure to cash is a detractor from relative results in rising markets, we view cash as a valid asset class and a residual of the investment process when discounts narrow on our holdings and we cannot find enough fairly valued securities. Additionally, cash gives us the option to pounce when the time is right. In January 2010, we began buying government bonds of Singapore, which now represents 5.3% of the portfolio (our largest position) at quarter-end, and is a way to diversify our cash exposure. While the yield is low, we hope to over time get an "equity-like" return from these bonds (due to the appreciation of the Singapore dollar). Since we bought them in January 2010 through March 31, 2013, they averaged an annualized return of 4.4% (in USD). While our exposure to gold and fixed income, 5.0% and 16.1% respectively, together detracted almost -0.5% from the return, it is this multi-asset class approach (including cash) that we believe at times protects the portfolio in down markets and helps reduce overall portfolio volatility. And even though gold bullion averaged a return of –4.6% over the quarter, we still view gold favorably as a hedge against the equities in our portfolio and against currency debasement. Given that we reduced our exposure to gold mining stocks over the quarter, from 0.7% to 0.1% at quarter-end, we marginally added to our gold bullion position. Our exposure to gold totaled 5.0% on March 31, down from 5.2% on December 31.  


  • New Guru Added: Charles de Vaulx

    As we continue to extend our coverage to global market for GuruFocus Global Membership, we are glad to announce that we have just added Charles de Vaulx into our List of Gurus. We want to point out that Charles de Vaulx was in our List of Gurus before he left First Eagle Funds in 2008. We are happy to have him back, now with IVA Funds. Charles invests extensively in global markets and has generated impressive track records. We will track both of his funds: IVA Worldwide Value Fund and IVA International Value Fund.

    Charles de Vaulx  


  • View on LBIX

    Good value health drink co. working hard to reduce expenses and promote most profitable products.  


  • View on EWZ

    Brazil will be one of the best investments of the next 10 years they have a great growth story much better than US and europe  


  • Charles de Vaulx Buys Lockheed Martin Corp., WellPoint Inc., Express Scripts Inc., Sells Waste Management Inc., Northwestern Corp., Orthologic Corp.

    Value investor Charles de Vaulx minimizes his investment risk by focusing on securities that are considered to be undervalued by the market. This is the updates of his buys and sells during the 4th quarter of 2006. Charles de Vaulx owns 388 stocks with a total value of $13.4 billion as of 12/31/2006.

    Charles de Vaulx buys Lockheed Martin Corp., WellPoint Inc., Express Scripts Inc., Linear Technology Corp., Meredith Corp., Caremark Rx Inc., Mercantile Bankshares Corp., ISHARES LEHMAN 20 YR, Maxim Integrated Products Inc., Texas Instruments Inc., Columbia Equity Trust Inc., Equity Office Properties Trust, Duke Energy Corp., HEALTHSOUTH CP, Clark Inc., St. Jude Medical Inc., Abbott Laboratories, TECK COMINCO CL B, Eagle Materials Inc., Digitas Inc., DYNCORP INTL INC., Halliburton Co., Barclays plc, Agere Systems Inc., MDS Inc., Government Properties Trust In, AirTran Holdings Inc., Apollo Group Inc., 3M Co., TD Banknorth Inc., FUJIFILM HOLDINGS CORPORATION - AMERICAN DEPOSITAR, Penn West Energy Trust, Suntech Power Holdings Co., Ltd. American Deposita, CombinatoRx, Incorporated - Common, Buffalo Wild Wings Inc., AMER ITAL PASTA, Nuvelo Inc., The Hanover Insurance Group, Inc. , MGP Ingredients Inc., Microtek Medical Holdings Inc., Sky Financial Group Inc., Sirius Satellite Radio Inc., SGX PHARMACEUTICALS, INC., Sanmina-SCI Corp., Skyworks Solutions Inc., Napster Inc., Embarq Corporation , Telstra Corp. Ltd., NATCO Group Inc., , Tejon Ranch Co., Ultra Petroleum Corp., Veeco Instruments Inc., MEMC Electronic Materials Inc., Midwest Air Group Inc., Patterson-UTI Energy Inc., IntercontinentalExchange, Inc. , par v, DB Commodity Index Tracking Fund, ENTERRA EN TR, America First Apartment Invest, Essex Property Trust Inc., EWZ, Gemstar-TV Guide International, Lithia Motors Inc., Genitope Corp., Computer Programs & Systems In, Onyx Pharmaceuticals Inc., Japan Smaller Capitalization Fund, Inc. Common Sto, International Securities Excha, Dionex Corp., InfoSpace Inc., Harvest Energy Trust Trust Units, Annaly Mortgage Management Inc, ReGen Biologics Inc., Columbia Equity Trust Inc., sells Waste Management Inc., Northwestern Corp., Orthologic Corp., Mittal Steel Company NV, Panera Bread Co., , Interpublic Group of Companies, Five Star Quality Care Inc., Fisher Communications Inc., First Data Corp., Elephant Talk Communications I, NitroMed Inc., Retail HOLDRS, Witness Systems Inc., Windstream Corporation , Wendy's International Inc., Unitedhealth Group Inc., Titan Pharmaceuticals Inc., Toll Brothers Inc., SPY, Staples Inc., Sherwin-Williams Co., Sepracor Inc., EOG Resources Inc., Dell Inc., Coinstar Inc., American Power Conversion Corp, Alteon Inc., Advanced Life Sciences Holding, Asbury Automotive Group Inc., Live Nation, Inc. , Maverick Oil and Gas Inc., MTR Gaming Group Inc., The9 Ltd., MasterCard Incorporated Class A , Molex Inc., ARADIGM CORP, Arena Pharmaceuticals Inc., Applera Corp-Celera Genomics G, Corcept Therapeutics Inc., China Netcom Group Corp. (Hong, China Unicom Ltd., Cephalon Inc., Canyon Resources Corp., Peabody Energy Corp., Bolt Technology Corp., Birch Mountain Resources Ltd., Bally Total Fitness Holding Co, MDC Holdings Inc. during the 3-months ended 12/31/2006, according to the most recent filings of his investment company, Arnhold & S. Bleichroeder Advisers, LLC. Charles de Vaulx owns 388 stocks with a total value of $13.4 billion. These are the details of the buys and sells.  


  • Charles de Vaulx Buys Liberty Media Interactive Co, Liberty Media Capital, Home Depot Inc., Sells Countrywide Financial Corp., Freeport-McMoRan Copper & Gold, GOLDBELT RESOURCES LTD

    Charles de Vaulx buys Liberty Media Interactive Co, Liberty Media Capital , Home Depot Inc., Cintas Corp., GALAHAD GOLD, Viacom Inc. CL B, Mirant Corporation Common Stock, Hansen Natural Corp., International Speedway Corp., NovaGold Resources, Inc, Reckson Associates Realty Corp, Fidelity Bankshares Inc., Glenborough Realty Trust Inc., MasterCard Incorporated Class A Common Stock, FileNet Corporation, AnorMed Inc, Energy Partners Ltd., BNP Residential Properties Inc, Sizeler Property Investors Inc, CARREFOUR, etc., sells Countrywide Financial Corp., Freeport-McMoRan Copper & Gold, GOLDBELT RESOURCES LTD, CVS Corp., United States Steel Corp. etc during the 3-months ended 09/30/2006, according to the most recent filings of his investment company. These are the details.  


  • Charles de Vaulx interview on Bloomberg

    Charles de Vaulx manages $31 billion. His funds had virtual no down years. He focuses on absolute rather than relative returns. He said if they don't find stocks at the right price, they are just happy to hold cash. "We never attempt to forcast what market will do in short term, we are only in the business of valueing individual securities. Having said that, we are aware that both US and continental European markets strike us as pretty expensive, as a result, which makes us cautious in terms of adding new portfolios or adding to existing positions..."

    "The state of housing market... Foreign economies are more connected to the US economy ... Interest rate will come down... Two months ago I bought some 5-year treasury bonds..."  


  • Charles de Vaulx Buys Omnicom Group Inc., Bausch & Lomb Inc., Walgreen Co., Sells Liberty Media Capital , Liberty Media Interactive Co, Continental Airlines Inc.

    Charles de Vaulx buys Omnicom Group Inc., Bausch & Lomb Inc., Walgreen Co., Basic Earth Science Systems In, Maverick Tube Corp., Ubiquitel Inc., , Fisher Scientific Internationa, Serologicals Corp., American Retirement Corp., Kinder Morgan Inc., Jameson Inns Inc., Western Gas Resources Inc., JED Oil Inc., ARAMARK Corp., Russell Corp., West Corp., Emmis Communications Corp., Phelps Dodge Corp., San Juan Basin Royalty Trust, Tribune Co., KeySpan Corp., ACE Cash Express Inc., Fargo Electronics Inc., Wendy's International Inc., Yahoo! Inc., Boykin Lodging Co., etc, sells Liberty Media Capital, Liberty Media Interactive Co, Continental Airlines Inc., Mirant Corporation , , Lexmark International Inc., Merrill Lynch & Co. Inc., Boston Scientific Corp., Sears, Janus Capital Group Inc., etc. during the 3-months ended 06/30/2006, according to the most recent filings of his investment company, First Eagle Funds. As of July 31, 2006, his First Eagle U. S. Value Fund returned 3.79%. These are the details.  


  • Charles de Vaulx: We have become net sellers of foreign stocks, and net buyers of U.S. stocks

    Just a few weeks ago, the Market believed in a Goldilocks world, with synchronized global economic growth and low inflation. Today, the Market appears spooked by the prospect of stagflation, i.e. low economic growth combined with some inflation (particularly in the U.S.), a lethal combination for financial assets. We try to remain agnostic, although our focus on capital preservation forces us to worry about what can go wrong Charles de Vaulx instead of fantasizing about perpetual prosperity.

    I would like to make three points:  


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