Our South Korean auto holdings declined in the period due to weakness in their home automobile market, as well as decreased growth in emerging markets. However, on the positive side, the Hyundai Motor Group (XKRX:005839, Financial) (which includes Hyundai and Kia Motor, as well as Hyundai Mobis) has continued to improve its product quality and brand image over the last several years, according to the J.D. Power 2015 U.S. Initial Quality Study. During the most recent quarter, Hyundai and Kia Motors were ranked in the top four among the top non-premium/luxury brands for the second year in a row. In addition to improving brand quality, we continue to find Hyundai Mobis and Hyundai Motor attractive due to their strong balance sheets, their exposure to attractively growing long term markets, and their current very attractive valuation multiples.
From Brandes Global Equity Fund second quarter 2015 commentary.
