David Herro (Trades, Portfolio) of Oakmark may be the best international fund manager of the past 10 years.
He has two stock picks for us. One is BMW (XTER:BMW), which successfully grew their business without diminishing the returns on capital employed.
The second is Credit Suisse (XSWX:CSGN), which has a very important annuity like business with their Private Bank. The Private Bank creates a great cash flow stream and the company trades at 10 times earnings.
Herro is also focusing on Australia, because immigration makes it a growth country. He also expects that the historically tight money policy that the Australian Central Bank has kept will be loosened, and a weakening currency will help stimulate earnings.
