First Eagle Expands Offering of US Small Cap Strategy to Non-US Investors
First Eagle Investments (“First Eagle”) today announced it has expanded its portfolio offerings to non-US investors through the launch of its US Small Cap strategy within First Eagle’s Irish UCITS platform. The sub-fund, which was seeded by First Eagle in February 2022, pursues an opportunistic small cap value strategy. It invests in companies that the portfolio management team believes are attractively valued and have the potential to benefit from a catalyst—such as new management, a more favorable business cycle, product innovation and/or margin improvement—that may drive a recovery in earnings growth.
The strategy is managed by First Eagle’s Small Cap team, which was formed in April 2021 with the hiring of Portfolio Manager Bill Hench, Associate Portfolio Managers Suzanne Franks and Rob Kosowsky, and Senior Research Analyst Adam Mielnik. All four were previously employed by Royce Investment Partners, where they managed the portfolios of a US mutual fund, a UCITS fund and a collective investment trust, with Hench listed as one of the portfolio managers since 2004. Subsequently, the Small Cap team added Trader/Analyst Mark Salamone and Analyst Connor Sheehy in October 2021 and July 2022, respectively.
“We believe skilled active managers can exploit the ample inefficiencies in the US small cap market to deliver differentiated investment solutions,” said Matthieu Louanges, Global Head of Institutional and International Wealth Management at First Eagle. “Bill and his team have been focused on the US small cap market for many years, and our London and Munich-based account management teams are pleased to offer existing and prospective clients access to this time-tested, value-oriented strategy through a UCITS structure.”
First Eagle’s US Small Cap strategy takes an opportunistic but disciplined approach to bottom-up portfolio construction, employing in-house fundamental research in an effort to identify companies that appear temporarily mispriced by the market due to inefficiently valued assets, turnaround potential, accelerating-but-overlooked earnings growth, or unacknowledged market leadership. True small cap specialists, the team typically holds 180 to 300 stocks—including microcap stocks with market capitalizations below $1 billion—in pursuit of broad diversification at the security level.
“Small cap stocks represent a particularly volatile and inefficiently priced segment of the US equity market,” said Hench. “However, these dynamics historically also have created opportunities for disciplined active managers to generate attractive long-term returns for investors through diversified portfolios of undervalued small cap names. We are excited to offer our expertise in this space to investors outside the US.”
The US Small Cap strategy is offered through a sub-fund of First Eagle’s Irish UCITS vehicle, with three types of share classes (retail, advisory and institutional) denominated in three currencies (US dollars, euros and British pounds). The UCITS fund currently is available for public offer and sale in Austria, Belgium, France, Germany, Ireland, Luxembourg, Netherlands, Portugal and Spain, and is available for eligible investors in Switzerland and the United Kingdom. First Eagle plans to register the UCITS fund for distribution in additional countries in the near future. This latest sub-fund joins First Eagle’s growing UCITS platform, which was established in May 2021 with the launch of a sub-fund offering its International Value (global excluding the US) strategy.
About First Eagle Investments
First Eagle Investments is an independent, privately owned investment management firm headquartered in New York with approximately $101.6 billion in assets under management as of June 30, 2022. (On a pro forma basis to include the recent acquisition of Napier Park Global Capital, First Eagle’s total assets under management are approximately $121.1 billion as of that same date.) Dedicated to providing prudent stewardship of client assets, the firm focuses on active, fundamental and benchmark-agnostic investing, with a strong emphasis on downside mitigation. With a heritage dating back to 1864, First Eagle has helped its clients avoid permanent impairment of capital and earn attractive returns through widely varied economic cycles—a tradition that is central to its mission today. The firm’s investment capabilities include equity, fixed income, alternative credit and multi-asset strategies. For more information on First Eagle, please visit www.firsteagle.com.
The total pro forma assets under management (AUM) represents the combined AUM of First Eagle Investments and Napier Park Global Capital as of June 30, 2022. It includes $1.5 billion of committed and other non-fee-paying capital from First Eagle Alternative Credit and $0.9 billion of committed and other non-fee-paying capital from Napier Park, inclusive of assets managed by Regatta Loan Management LLC. Pro forma results are for illustrative purposes only and are not actual performance results. The pro forma results reflect a business combination that had not yet taken place and may differ materially from actual performance results.
IMPORTANT INFORMATION FOR INVESTORS
This is a marketing communication. The material is for informational purposes only and should not be regarded as a recommendation or an offer to buy or sell any product or service to which this information may relate. Certain products and services may not be available to all entities or persons. This release does not constitute or contain an offer, solicitation, recommendation or investment advice with respect to the purchase of any sub-fund described herein or any security.
The investment vehicle referenced in this material has been established as an Irish collective asset-management vehicle with variable capital constituted as an umbrella fund with segregated liability between its sub-funds under the laws of Ireland (registered number 445369) (the “ICAV”). Prospective investors should carefully consider a sub-fund’s objectives, risks, charges, tax considerations and expenses and other relevant information before investing. For this and more information on the ICAV, please refer to the ICAV’s prospectus, the supplement for the sub-funds and the applicable KIIDs and read them carefully before you invest and before making any final investment decisions. This is not a contractually binding document; do not base any final investment decision on this communication alone.
An investment in a sub-fund involves risk; principal loss is possible. There is no guarantee a sub-fund’s investment objectives will be achieved. In respect of the US Small Cap strategy, investments in small and micro-size companies historically have been more volatile in price than larger company securities, especially over the short term. Positions in small and micro-size companies also may be more difficult or expensive to trade. Among the reasons for the greater price volatility are the less certain growth prospects of small and micro-size companies, the lower degree of liquidity in the markets for such securities, and the greater sensitivity of small and micro-size companies to changing economic conditions. Value investments present the risk of never reaching what may be believed to be their full market values or may decline in value.
More information on these risk considerations, as well as information on other risks to which the sub-fund is subject, such as liquidity, market, and investment strategy risks, are included in the ICAV’s prospectus.
The ICAV’s prospectus is available on the First Eagle website and www.fundinfo.com. The KIIDs can also be accessed on the First Eagle website and are available in one of the official languages of each of the EU Member States into which the sub-funds have been notified for marketing under the UCITS Directive 2009/65/EC.
Prospective investors should also consult their professional advisers as to the suitability of any investment in light of their particular circumstances and applicable citizenship, residence or domicile. The ICAV has been authorized in Ireland as a UCITS pursuant to the European Communities (Undertakings for Collective Investments in Transferable Securities) Regulation 2011, as amended.
Shares of the ICAV are only available for certain non-US persons in select transactions outside the United States, or, in limited circumstances, otherwise in transactions that are exempt from the registration requirements of the United States Securities Act of 1933, as amended, and such other US laws as may be applicable.
The ICAV currently is available for public offer and sale in Austria, Belgium, France, Germany, Ireland, Luxembourg, Netherlands, Portugal and Spain, and is available for eligible investors in Switzerland and the United Kingdom, in each case in accordance with applicable law.
The views expressed herein represent the opinions of First Eagle and are not intended as a forecast or guarantee of future results for any product or service.
To view this piece of content from cts.businesswire.com, please give your consent at the top of this page.
Mount and Nadler
About Business Wire
(c) 2018 Business Wire, Inc., All rights reserved.
Business Wire, a Berkshire Hathaway company, is the global leader in multiplatform press release distribution.
Subscribe to releases from Business Wire
Subscribe to all the latest releases from Business Wire by registering your e-mail address below. You can unsubscribe at any time.
Latest releases from Business Wire
Forge Biologics Fuels Gene Therapy Manufacturing Engine with Launch of Plasmid DNA Manufacturing Services to Support AAV Clients27.9.2022 13:00:00 CEST | Press release
Forge Biologics, a gene therapy-focused contract development and manufacturing organization, today announced the new availability of plasmid DNA manufacturing to its suite of scalable manufacturing services for gene therapy programs, complementing Forge’s existing AAV process development, analytical development, cGMP manufacturing, and automated final fill capabilities. Forge’s plasmid manufacturing services encompass three grades to accommodate a phase-appropriate approach: Research-Grade, suitable for discovery, research and development; GMP-Pathway, suitable for early-stage clinical trial cGMP AAV manufacturing, and cGMP, suitable for late-stage clinical and commercial cGMP manufacturing. Forge’s plasmid production services utilize single-use systems that seamlessly integrate into the Company’s platform AAV manufacturing process, allowing continuity of manufacturing for clients and streamlined vendor management. Research-Grade and GMP-Pathway plasmid grades are currently available,
DOQMIND Announces Peter Hulsmans as CEO27.9.2022 13:00:00 CEST | Press release
DOQMIND (www.DOQMIND.com), a leading label and artwork management technology provider, announced today that Peter Hulsmans has been appointed CEO. With more than 20 years of label and artwork management leadership experience, Hulsmans brings a high-growth, customer-focused mindset to DOQMIND. “Peter’s experience and extensive industry knowledge make him the right person to build momentum and drive DOQMIND’s aggressive expansion plans,” said Ignace Cosaert, a board member of Athena Graphics, DOQMIND’s founding company. “Peter is known in the industry as someone who always delivers on his customer commitments, aligned with Athena’s reputation for delivering high-quality prepress services since 1991. He will be an excellent steward of our values, products, and brand portfolio.” DOQMIND has been providing label and artwork management technology to some of the most well-known brands for the last 15 years as part of Athena’s product portfolio. Its growth has positioned the company to spin of
Stampen Media Implements Aria Systems’ Usage & Subscription Billing Platform and Begins Migrating Digital and Print Subscribers27.9.2022 13:00:00 CEST | Press release
Aria Systems, the leader in helping enterprises grow subscription and usage-based revenue, today announced that Stampen Media, one of Sweden’s largest media groups, has successfully implemented its cloud-based billing platform and has begun migrating print and digital subscribers to the new platform. In addition to the core platform for billing and subscription management, Stampen Media is leveraging the Aria Media and Publishing Suite (AMPS), the extension designed to support both the digital and the physical subscription needs of media and publishing companies. Aria expects to complete the migration of all Stampen Media subscribers across its 12 subscribed media titles by early next year. With the successful go-live, Stampen Media now has access to customer management tools that allow service representatives to manage all customer subscriptions and execute any changes more easily. Stampen Media customers can manage their accounts via new user self-service capabilities and activate ne
Velodyne Lidar Signs Multi-Year Agreement with Stanley Robotics27.9.2022 12:48:00 CEST | Press release
Velodyne Lidar, Inc. (Nasdaq: VLDR, VLDRW) today announced a multi-year agreement to provide its lidar sensors to Stanley Robotics for an automated valet parking solution. The innovative service uses autonomous handling robots to help car parks to improve the customer experience and increase the number of vehicles that can be stored. This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20220927005439/en/ All-electric, autonomous parking valet robot "Stan" by Stanley Robotics, equipped Velodyne Lidar's Puck sensor (Photo: Stanley Robotics) Stanley Robotics is working with Velodyne’s Puck and Velarray M1600 lidar sensors to provide perception and navigation capabilities that enable its all-electric Stan robot to operate autonomously and safely. The sensors provide real-time 3D perception data for localization, mapping, object classification and object tracking. Velodyne’s power-efficient sensors support Stan robots in a wide range of
Latest Blue Shift Report From Arthur D. Little Delivers Realistic View of the Metaverse27.9.2022 12:26:00 CEST | Press release
Arthur D. Little (ADL) has published The Metaverse, beyond fantasy, the latest in a series of new reports from the company running under the ‘Blue Shift’ banner, which explore the impact of new technologies on business, society and humans. The Metaverse, Beyond Fantasy looks beyond the hype and delivers a realistic picture of the Metaverse for businesses, focusing in particular on the technologies necessary to enable it. While the Metaverse is not a new concept, the past few years have seen a rapid acceleration of both development and adoption, driven by the convergence of three industries: gaming; collaboration and productivity tools; and social media and networks. Yet while the size of the Metaverse market is difficult to estimate, the report emphasizes that companies should not underestimate its potential importance to their business. The report looks at the key enabling technologies of the Metaverse, including artificial intelligence (AI), Internet of Things (IoT) and blockchain, a