Management & Investment Process

Management

The investment team leverages high degrees of experience and knowledge within a disciplined investment process. Learn more about the Team.
  • James C. Kieffer, CFA
  • Portfolio Manager
  • 30Years Investment
    Experience
  • Thomas A. Reynolds IV
  • Portfolio Manager
  • 20Years Investment
    Experience
  • Daniel L. Kane, CFA
  • Portfolio Manager
  • 21Years Investment
    Experience
  • Craig Inman, CFA
  • Portfolio Manager
  • 20Years Investment
    Experience

Investment Process

The investment team seeks to invest in cash-producing businesses in strong financial condition that are selling at undemanding valuations.

Attractive Valuation

  • Distinct discount to intrinsic value
  • Low expectations
  • Favorable risk/reward

Sound Financial Condition

  • Focus on financial flexibility and liquidity
  • Evaluate on- and off-balance sheet liabilities
  • Allows management to pursue value-enhancing initiatives

Attractive Business Economics

  • Focus on free cash flow and return on capital capabilities
  • Ability to grow underlying business value
  • Avoid “value traps”

In-depth Investment Process

 

    Domicile Ireland
    Adviser Artisan Partners Limited Partnership
    Management Fee
    Class I 0.75%
    Class A 1.50%
    Currency/Share Class Inception Minimum Investment ISIN
    Class I USD 7 June 2013 $2,000,000 IE00B8DGGQ84
    Class I EUR €2,000,000 IE00BHSRH663
    Class I GBP £2,000,000 IE00BHSRH770
    Class A USD 30 May 2014 $10,000 IE00B798GV68

    Investment Results (%)

    17 May 2019 30 April 2019
    NAV Change (%) QTD YTD 1 Yr 3 Yr 5 Yr 10 Yr Inception
    Class I USD 14.84 -0.80 5.65 19.55 4.93 9.68 6.49 7.75
    Russell 1000® Value Index (USD) 3.55 15.90 9.06 10.97 8.27 9.84
    Russell 1000® Index (USD) 4.04 18.60 13.33 14.82 11.41 12.61
    Class A USD 14.29 -0.83 5.58 19.20 4.11 8.88 5.22
    Russell 1000® Value Index (USD) 3.55 15.90 9.06 10.97 8.09
    Russell 1000® Index (USD) 4.04 18.60 13.33 14.82 11.10
    17 May 2019 31 March 2019
    NAV Change (%) QTD YTD 1 Yr 3 Yr 5 Yr 10 Yr Inception
    Class I USD 14.84 -0.80 13.16 13.16 0.41 9.75 5.57 6.85
    Russell 1000® Value Index (USD) 11.93 11.93 5.67 10.45 7.72 9.33
    Russell 1000® Index (USD) 14.00 14.00 9.30 13.52 10.63 12.03
    Class A USD 14.29 -0.83 12.91 12.91 -0.35 8.91 4.13
    Russell 1000® Value Index (USD) 11.93 11.93 5.67 10.45 7.46
    Russell 1000® Index (USD) 14.00 14.00 9.30 13.52 10.39

    Annual Returns (%)

    12 Months Ended 31 March 2015 2016 2017 2018 2019
    Class I USD 4.10 -4.71 22.93 7.10 0.41
    Class I EUR
    Class I GBP
    Class A USD -5.35 21.88 6.36 -0.35
    Returns for periods less than one year are not annualized. 

    Past performance does not guarantee and is not a reliable indicator of future results. Performance is NAV to NAV, including reinvestment of dividends and capital gains, if any, and is net of fees and expenses, excluding any subscription or redemption charges which may be levied. At the moment, the Fund does not intend to charge subscription or redemption fees. The Fund may be offered in different share classes, which are subject to different fees, expenses and inception dates (which may affect performance), have different minimum investment requirements and are entitled to different services.

    Investment Risk: Investments will rise and fall with market fluctuations and investor capital is at risk. Investors investing in funds denominated in non-local currency should be aware of the risk of currency exchange fluctuations that may cause a loss of principal. These risks, among others, are further described in the Important Disclosures section which should be read in conjunction with this material. 
    Top 10 Holdings
    (% of total portfolio as of 30 April 2019)
    Alphabet Inc (Communication Services) 5.0
    Berkshire Hathaway Inc (Financials) 4.9
    Apple Inc (Information Technology) 4.4
    Citigroup Inc (Financials) 4.1
    NXP Semiconductors NV (Information Technology) 3.9
    Comcast Corp (Communication Services) 3.7
    Air Lease Corp (Industrials) 3.6
    Cisco Systems Inc (Information Technology) 3.5
    Facebook Inc (Communication Services) 3.4
    Synchrony Financial (Financials) 3.4
    Total 40.0%
    Portfolio Statistics
    (as of 30 April 2019)
    Median Market Cap (USD Billions) $46.5
    Weighted Avg. Market Cap (USD Billions) $195.3
    Weighted Harmonic Avg. P/E (FY1) 13.1X
    Weighted Harmonic Avg. P/E (FY2) 11.9X
    Median Price/Book Value 2.1X
    Median ROE 14.0%
    Median Fixed Charge Coverage Ratio 6.4X
    Active Share 85.1%
    Portfolio Turnover Rate 35.2%
    Number of Securities 36
    Cash (% of total portfolio) 7.4%
    Market Cap Distribution
    (% of total portfolio equities as of 30 April 2019)

    $ in billions
    225.0+ 23.0
    100.0–225.0 15.0
    40.0–100.0 24.1
    15.0–40.0 16.5
    0.0–15.0 21.5
    TOTAL 100.0%
    Sector Diversification
    (% of total portfolio equities as of 30 April 2019)
    Communication Services 17.3
    Consumer Discretionary 7.5
    Consumer Staples
    Energy 5.1
    Financials 26.2
    Health Care 7.2
    Industrials 12.8
    Information Technology 14.5
    Materials 9.4
    Real Estate
    Utilities
    Total 100.0%
    International investments involve special risks, including currency fluctuation, lower liquidity, different accounting methods and economic and political systems, and higher transaction costs. These risks typically are greater in emerging markets.  Securities of small- and medium-sized companies tend to have a shorter history of operations, be more volatile and less liquid and may have underperformed securities of large companies during some periods.  Value securities may underperform other asset types during a given period.  These risks, among others, are further described in the Fund Documents. 

    Further details, including risks, fees and expenses, are set out in the current Prospectus, Supplements and Key Investor Information Documents (KIIDs), which can be obtained by calling +44 (0) 207 766 7130 or visiting Fund Documents. Read carefully before investing.

    Performance Source: Artisan Partners/Russell. Data & Statistics Sources: Artisan Partners/FactSet/Russell/GICS. Sector exposure percentages reflect sector designations as currently classified by GICS. Portfolio turnover is reported as of the strategy’s fiscal year end. Artisan Partners may exclude outliers when calculating portfolio statistics. If information is unavailable for a particular security Artisan may use data from a related security to calculate portfolio statistics. Securities of the same issuer are aggregated to determine a holding’s weight in the portfolio. Cash weighting includes cash and cash equivalents. Totals may not sum due to rounding. 

    Median is the data's midpoint value. Market Cap is the aggregate value of all of a company's outstanding equity securities. Weighted Average is the average of values weighted to the data set's composition. Weighted Harmonic Average is a calculation of weighted average commonly used for rates or ratios. Price-to-Earnings Ratio (P/E Ratio) measures how expensive a stock is. Earnings figures used for FY1 and FY2 are estimates for the current and next unreported fiscal years. Price-to-Book Ratio (P/B Ratio) is a valuation measure used to compare a stock's market value to its book value. Return on Equity (ROE) is a profitability ratio that measures the amount of net income returned as a percentage of shareholders equity. Fixed Charge Coverage Ratio indicates a firm's ability to satisfy fixed financing expenses, such as interest and leases. Active Share is defined as the percentage of a portfolio that differs from its benchmark index. Active Share can range from 0% for an index fund that perfectly mirrors its benchmark to 100% for a portfolio with no overlap with an index. Portfolio Turnover is a measure of the trading activity in an investment portfolio—how often securities are bought and sold by a portfolio. Free Cash Flow is a measure of financial performance calculated as operating cash flow minus capital expenditures. Return on Capital (ROC) is a measure of how effectively a company uses the money (borrowed or owned) invested in its operations. 

    Russell 1000® Value Index measures the performance of US large-cap companies with lower price/book ratios and forecasted growth values. Russell 1000® Index measures the performance of roughly 1,000 US large-cap companies. The index(es) are unmanaged; include net reinvested dividends; do not reflect fees or expenses; and are not available for direct investment. 

    Frank Russell Company (“Russell”) is the source and owner of the trademarks, service marks and copyrights related to the Russell Indexes. Russell® is a trademark of Frank Russell Company. Neither Russell nor its licensors accept any liability for any errors or omissions in the Russell Indexes and/or Russell ratings or underlying data and no party may rely on any Russell Indexes and/or Russell ratings and/or underlying data contained in this communication. No further distribution of Russell Data is permitted without Russell’s express written consent. Russell does not promote, sponsor or endorse the content of this communication. 

    The Global Industry Classification Standard (GICS®) is the exclusive intellectual property of MSCI Inc. (MSCI) and Standard & Poor’s Financial Services, LLC (S&P). Neither MSCI, S&P, their affiliates, nor any of their third party providers (“GICS Parties”) makes any representations or warranties, express or implied, with respect to GICS or the results to be obtained by the use thereof, and expressly disclaim all warranties, including warranties of accuracy, completeness, merchantability and fitness for a particular purpose. The GICS Parties shall not have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of such damages.

    Artisan Partners Limited Partnership is the investment manager of Artisan Partners Global Funds Plc (APGF). APGF is an umbrella type open-ended investment company with variable capital having segregated liability between its sub-funds, incorporated with limited liability and registered in Ireland under registration number 485593. APGF is authorized by the Central Bank of Ireland as an Undertaking for Collective Investments in Transferable Securities (UCITS). Artisan Partners UK LLP is the distributor for APGF.