First Eagle Asset Management

Current Views on Gold Commentary As of March 9, 2016 Gold has rallied as stock prices have fallen. In this brief commentary, Portfolio Manager Thomas Kertsos and Research Analyst Max Belmont reflect on gold’s recent performance and offer their insights into current trends. What recent changes have you seen in the gold market? In the first weeks of 2016, concerns about a steeper...

First Eagle Asset Management

The First Eagle Portfolio Management Team on the Trends Driving Global Opportunities First Eagle’s Global Fund (SGENX) is its flagship fund, with over $45 billion in assets. Its mission is to seek longterm growth of capital by investing in a range of asset classes from markets in the United States and around the world. Since inception (1/1/79)1 , it has returned 13.35% annually, versus...

First Eagle Asset Management

First Eagle Global Income Builder Fund Commentary As of December 31, 2015 Market Overview In the fourth quarter of 2015, the MSCI World Index rose 5.50% while in the United States, the S&P 500 Index increased 7.04%. The Barclays U.S. Aggregate Bond Index and the Barclays U.S. Corporate High Yield Index returned −0.57% and −2.07%, respectively. In Europe, the German...

First Eagle Asset Management

First Eagle Global Value Team Commentary As of December 31, 2015 Market Overview In the fourth quarter of 2015, the MSCI World Index rose 5.50% while in the United States the S&P 500 Index increased 7.04%. In Europe, the German DAX was up 8.22% and the French CAC 40 index increased 1.29%. In Japan, the Nikkei 225 index gained 8.98% over the period. Crude oil fell 17.85% to $37.04 a...

First Eagle Asset Management

Year-End 2015 First Eagle Global Value Team Annual Letter Shaky Start to 2016 As we reflect on 2015, we want to begin by acknowledging the market events that unfolded in the opening weeks of 2016. Markets started 2016 on a weak note, with the MSCI World Index down 6% in the first week of January, led by more pronounced weakness in Chinese equities and a sudden devaluation of the yuan. At First...

First Eagle Asset Management

First Eagle High Yield Fund Commentary As of December 31, 2015 Market Overview The high-yield asset class was a tale of two halves in 2015, with commodity prices as the one common driving factor. Energy and other commodities like iron ore and copper generally recovered in price in the first six months, driving spreads tighter and yields lower. Then, following a late-summer decline in Chinese...

First Eagle Asset Management

First Eagle Fund of America Commentary As of December 31, 2015 The First Eagle Fund of America class A shares (w/out sales charge) returned 5.35%1 for the quarter ending December 31, 2015 versus 7.04% for the S&P 500 Index. We lagged the index as large/mega cap stocks outperformed mid/small cap stocks as discussed in further detail below. 2015 was a challenging year in global stock...

First Eagle Asset Management

First Eagle Fund of America Quarterly Fact Sheet December 31, 2015 Investment Objective A non-diversified fund that seeks capital appreciation by investing primarily in U.S. stocks and, to a lesser extent, in debt and international equities. Class C FEAMX Class A (FEFAX) Class C (FEAMX) Class I (FEAIX) Class Y (FEAFX)° S&P 500 Index 11/20/98 (Inception) 03/02/98...

First Eagle Asset Management

First Eagle High Yield Fund Energy Update Commentary As of December 31, 2015 Class A FEHAX Class C FEHCX Class I FEHIX First Eagle High Yield Fund is maintaining its position in energy—as opposed to many of our peers—even though it’s been a driver of recent underperformance. Investors might wonder about this exposure amid falling oil prices, a seemingly...

First Eagle Asset Management

High Yield: A Challenge and an Opportunity Commentary December 2015 Liquidity in the high-yield market has been a challenge over the past several quarters, as several structural factors have adversely affected traditional sources of liquidity. Historically, counterparties like banks and brokers served as market-makers, allocating capital to provide down bids in periods of market distress, as...

First Eagle Asset Management

November 2015 Volatility Can Be a Value Manager’s Friend Viewpoints: Thoughts from a Value Perspective Viewpoints Volatility Can Be a Value Manager’s Friend After a period of very low volatility and gradually rising stock prices, volatility spiked1 in late August and has remained somewhat elevated since then. While future levels are uncertain, some value investors would...

First Eagle Asset Management

The PM’s Perspective Rob Hordon on Income Opportunities in Asia Class A FEBAX Class C FEBCX Class I FEBIX The PM’s Perspective is a series of interviews with senior members of First Eagle’s investment teams. As a firm with a long tradition of independent thinking, we invite you to read these market views and strategic insights. Q: Asian markets...