, particularly as war rages on in Ukraine and the Federal Reserve kicks off its most aggressive tightening campaign in decades to tackle inflation.
“On a simple measure, like price to book, the bottom two thirds of the market isn’t that different in terms of valuations compared to 10, 15, 20 years ago. So, there’s still a heap of small to mid-cap stocks that are trading at incredibly cheap valuations.” While the global value portfolio can invest in companies of all sizes, Markiewicz describes the perfect stock as having a market capitalisation of $2 billion to $10 billion given they often fly under the radar of brokers.
The fund’s top holding at the beginning of March was Barrick, the world’s second largest gold producer, with a 6 per cent weighting, while oil producers Shell and ConocoPhillips were also among its top 10 exposures.