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Investment Strategy

  • To estimate intrinsic value, the business must be understandable, and we must be able to reasonably forecast its cash flows. We seek businesses with sustainable competitive advantages, conservative balance sheets, and management with an ownership mentality.
  • Investments are sold when the stock price reaches our estimate of intrinsic value, our estimate of intrinsic value is revised such that there is no longer a discount to intrinsic value, a holding reaches our stated maximum position size, or to raise proceeds for a more attractive opportunity.

Team

Grady Burkett, CFA

Portfolio Manager

Returns

Quarterly

Period and Annualized Total Returns as of 3/31/2021
Since Inception
(12/31/2013)
5-YR3-YR1-YRYTD1Q21
Gross of Fees 8.06 12.08 7.09 57.29 4.61 4.61
Net of Fees 7.74 11.59 6.38 56.31 4.45 4.45
Morningstar Global Markets Index 9.20 13.11 11.82 56.49 4.87 4.87
Swipe or scroll right for more data

Past performance is not a guarantee of future results. To view a compliant presentation for all composites, click here.

Calendar Year Returns

Year Gross of Fees Net of FeesMorningstar Global Markets Index
2020 2.60 1.93 16.07
2019 31.57 30.73 26.24
2018 -13.90 -14.51 -9.82
2017 30.84 30.84 23.87
2016 11.42 11.42 8.22
2015 -4.58 -4.58 -2.04
2014 3.69 3.69 4.00

Peer Group Quartile Rankings1 as of March 31, 2021

  Since
Inception
5-YR3-YR1-YR
Diamond Hill Percentile 46th37th80th39th

1 This is presented as supplemental information. Source: eVestment Analytics. Ranking within eVestment Global Large Cap Value universe based on monthly returns gross of fees. Ranking data calculated on 4/19/21 (as of 3/31/21) and is subject to change as additional firms within the category submit data.

Statistics

Portfolio Characteristics VS. Benchmark2 as of March 31, 2021

  Global Composite Morningstar Global Markets Index
Inception December 31, 2013
Status Open
Median Forward P/E 23.6x 19.4x
Median Trailing P/E 29.0x 23.2x
Weighted Average Dividend Yield 2.0% 1.7%
Median Price / Book 3.9x 2.2x
Median Price / Sales 4.5x 2.1x
Median Market Cap. $142.8B $3.6B
Weighted Average Market Cap. $226.8B $254.6B
Portfolio Turnover (1-Year) 102%
Active Share vs. Benchmark 90%
Upside/Downside Capture Ratio 110%/117%

This is presented as supplemental information.

Portfolio

Portfolio Guidelines

  • Typically 40–60 positions
  • Maximum sector exposure is 35%
  • Minimum U.S. exposure is 30%
  • Minimum foreign exposure is 30%
  • Maximum emerging market exposure is 20%

Market Capitalization

The portfolio typically invests in companies with a market capitalization of $5 billion or greater.

Vehicles Available

Top Ten Equity Holdings as of March 31, 2021

  Sector % of Net Assets
Check Point Software Technologies Ltd. Info. Technology 6.0
Unilever PLC Consumer Staples 5.5
Verizon Communications, Inc. Communication Services 5.2
Rogers Communications, Inc. (Cl B) Communication Services 5.2
Berkshire Hathaway, Inc. (Cl B) Financials 4.8
Roche Holding AG Health Care 4.6
Diageo PLC Consumer Staples 4.0
Chevron Corp. Energy 4.0
Charles Schwab Corp. Financials 3.2
Walt Disney Co. Communication Services 3.1
Total as % of Net Assets 45.6%
Total number of equity holdings 41

This is presented as supplemental information.

Sector Allocation3 as of March 31, 2021

Global Composite Morningstar Global Markets Index
Communication Services 23.8 8.6
Consumer Staples 23.6 6.5
Info. Technology 14.8 20.0
Financials 11.3 14.4
Health Care 10.4 11.2
Cons. Discretionary 7.5 13.2
Energy 4.0 3.2
Industrials 1.7 11.3
Materials 0.0 5.4
Real Estate 0.0 3.4
Utilities 0.0 2.9
Cash & Other 2.8 0.0

This is presented as supplemental information.

Top Five Countries as of March 31, 2021

Global Composite Morningstar Global Markets Index
United States 50.0 56.1
United Kingdom 12.4 4.0
Switzerland 7.7 2.4
Israel 6.0 0.2
Canada 5.2 2.8

This is presented as supplemental information.

Regional Exposure as of March 31, 2021

Global Composite Morningstar Global Markets Index
North America 55.2 59.0
Europe 27.6 17.4
Asia & Pacific 6.0 21.4
Middle East & Africa 6.0 1.3
Latin America 2.4 1.0

This is presented as supplemental information.

DEVELOPED VS. EMERGING EXPOSURE as of March 31, 2021

Global Composite Morningstar Global Markets Index
Developed 92.6 88.6
Emerging 4.6 11.4

Documents

Active Share: Source: FactSet. Active share measures the difference between portfolio holdings and the benchmark. The higher the active share, the greater the difference. The Morningstar Global Markets Index is the benchmark. Upside/Downside Capture: Source: eVestment Analytics based on monthly returns (gross of fees) from 1/1/14 – 3/31/21.

Cash & Other may include cash, treasuries, money market funds, and short duration fixed income funds.

Index data source: Morningstar, Inc. See diamond-hill.com/disclosures for a full copy of the disclaimer.

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