Barrow Hanley Credit Opportunities Fund Institutional · NASDAQ:BCONX
Barrow Hanley Credit Opportunities Fund Institutional — Barrow Hanley — DLCV Webinar (August 2022)
12 slides from Barrow Hanley Credit Opportunities Fund Institutional's conference presentation, Aug 25, 2022
Slide 1: Diversified Large Cap Value Equity Strategy
2Q 2022 DIVERSIFIED LARGE CAP VALUE EQUITY STRATEGY Principled | Proven | Partners Disciplined value investors since 1979 www.barrowhanley.com
Slide 2: BH U.S. Diversified Large Cap Value Equity Team
BH U.S. DIVERSIFIED LARGE CAP VALUE EQUITY TEAM MARK GIAMBRONE Portfolio Manager / Analyst Joined the firm in 1999 | 30 years' experience TERRY PELZEL, CFA MICHAEL NAYFA, CFA Portfolio Manager/Analyst Portfolio Manager / Analyst Joined the firm in 2010 | 17 years' experience Joined the firm in 2008
Slide 3: A Differentiated U.S. Diversified Large Cap Value Equity Strategy
A DIFFERENTIATED U.S. DIVERSIFIED LARGE CAP VALUE EQUITY STRATEGY The Investment Team seeks to outperform the Russell 1000 Value Index by 150 - 250 bps over a full market cycle Experience • A PM team that has managed portfolios through multiple market cycles Philosophy • Value focused investment dis
Slide 4: The Output of Barrow Hanley's Process
THE OUTPUT OF BARROW HANLEY’S PROCESS Meeting our Value Philosophy: CHARACTERISTICS VS S&P 500 As of June 30, 2022 ATTRACTIVE MARKET VALUATIONS 30% 19% 20% • P/E NTM below the market 10% 0% • Price-to-book below the market -10% • EV/EBITDA below the market -20% -16% • Dividend Yield above the market
Slide 5: Performance
PERFORMANCE As of June 30, 2022 Diversified Large Cap Value Equity Composite | 2900 15 11.8 11.2 10.2 10.5 9.5 9.5 10 8.7 8.8 8.5 8.8 8.0 7.7 6.9 7.2 6.8 5 Performance % 0 -5 -6.3 -6.9 -6.8 -10 -11.2 -11.4 -11.5 -11.7 -12.2 -12.9 -15 3 Years 5 Years 7 Years 10 Years Since Inception Quarter to Date Y
Slide 6: Sector Attribution: One Year
SECTOR ATTRIBUTION One Year Ending June 30, 2022 Diversified Large Cap Value Equity Composite | 2900 Diversified Large Cap Value Equity Russell 1000 Value Attribution Analysis Composite Selection And Average Weight Total Return Average Weight Total Return Allocation Effect Total Effect Interaction E
Slide 7: Sector Attribution: Three Years
SECTOR ATTRIBUTION Three Years Ending June 30, 2022 Diversified Large Cap Value Equity Composite | 2900 Diversified Large Cap Value Equity Russell 1000 Value Attribution Analysis Composite Selection And Average Weight Total Return Average Weight Total Return Allocation Effect Total Effect Interactio
Slide 8: Portfolio Holdings
PORTFOLIO HOLDINGS June 30, 2022 % Port. % R1000V % Port. % R1000V % Port. % R1000V Communication Services 5.4 8.8 Health Care 17.0 17.2 Real Estate 6.2 5.1 T-Mobile US Inc 1.9 Merck & Co Inc 2.4 VICI Properties Inc 2.3 * Electronic Arts Inc 1.7 UnitedHealth Group Inc 2.3 Corporate Office Properties
Slide 9: Barrow Hanley Fundamental Research Outcomes
BARROW HANLEY FUNDAMENTAL RESEARCH OUTCOMES UPSIDE EARNINGS SURPRISE HIT RATE Quarterly Average for 20 Years Ending June 30, 2022 85% 80% 79% • Upside earnings surprise hit rate is the percentage of the 75% 72% stocks where actual EPS reported in a given quarter exceeds that of consensus sell-side a
Slide 10: Dividends Likely to Make Up a Larger Portion of Future Returns
DIVIDENDS LIKELY TO MAKE UP A LARGER PORTION OF FUTURE RETURNS COMPONENTS OF STOCK MARKET RETURNS S&P 500 INDEX Past 85 Years 10 Years Ending 3/31/00 7 ¼ Years Ending 6/30/07 9 Years Ending 3/31/09 11 1/2 11 1/2 Years Years Ending Ending 1 ¾ Years Ending 6/30/22 9/30/20 Past 85 years 10 Years Ending
Slide 11: When Value Outperforms, BH DLCV Adds Meaningful Alpha
WHEN VALUE OUTPERFORMS, BH DLCV ADDS MEANINGFUL ALPHA OUTPERFORMANCE OF VALUE AFTER GROWTH-LED MARKETS 1926 – June 2022 • Periods of growth outperformance are typically followed 200% by sustained periods of value outperformance. Cum. Value Outperformance 150% Current Ave. Value Run: • Since 1932, ei
Slide 12: Disclosures
DISCLOSURES General Disclosures: presentation of Barrow Hanley. Russell Investment Group is not responsible for the This presentation is not for redistribution. A complete list and descriptions of all formatting or configuration of this material or for any inaccuracy in Barrow Hanley’s composites ar