Selected International Fund
The goal of the Selected International Fund is to provide investors access to attractive investment opportunities that exist outside of the United States, in both developed and developing markets. Selected International Fund was previously named Selected Special Shares.
The Fund applies our signature Davis Investment Discipline – seeking durable, well-managed businesses at value prices and holding them for the long term – to create a Portfolio of companies based primarily outside the United States.
Investors who recognize that some of the most compelling investment opportunities can be found beyond U.S. borders may want to consider Selected International Fund.
Why Invest in Companies Outside the U.S.
Globalization of the world’s economy continues at a rapid pace:
- Many successful companies are located outside the United States. (More than 37,000 companies are listed on exchanges outside the United States, compared with only 5,000 within the United States.)
- About half of the world’s market capitalization is outside the United States.
- Approximately 95% of the world’s population lives beyond U.S. borders and 74% of global GDP is generated outside the United States.
- Investing solely in domestic stock funds may mean missing the tremendous growth opportunities and diversification potential that international companies provide.
Why Invest in Selected International Fund
Our investment discipline has compounded wealth for investors over six decades and three generations.
Aligned with Shareholders
With more than $2 billion invested side by side with fellow shareholders, we experience the same risks and reap the same rewards.1
Performance as of 12/31/16
as of December 31, 2016
Selected International Fund
The performance presented represents past performance and is not a guarantee of future results. Total return assumes reinvestment of dividends and capital gain distributions. Investment return and principal value will vary so that, when redeemed, an investor’s shares may be worth more or less than their original cost. The total annual operating expense ratio for Class S shares as of the most recent prospectus was 1.41%. The total annual operating expense ratio may vary in future years. Returns and expenses for other classes of shares will vary. Current performance may be higher or lower than the performance quoted. For most recent month-end performance, click here or call 800.243.1575.
* Davis Selected Advisers, LP assumed the portfolio management of Selected Funds in May, 1993.
** From the date that Davis Advisors first began managing the Fund (May 1, 1993) until May 1, 2011, Selected International Fund was named Selected Special Shares and invested primarily in domestic equity securities. In the future the Fund is expected to invest primarily in foreign equity securities and the past performance of the Fund is unlikely to be relevant to future performance.
Portfolio Characteristics as of 12/31/16
Top 10 Countries
Top 10 Holdings
|Encana Corp.||Canada||Canadian-based energy exploration and production company with properties in Canada and the U.S.||7.6%|
|Didi Chuxing Joint Co., Series A-17||China||The largest mobile platform taxi-calling app in China||6.7%|
|Naspers, Class N||South Africa||A media conglomerate that operates a leading pay television business in South and Sub-Saharan Africa and holds interests in a range of e-commerce businesses around the world||5.4%|
|LafargeHolcim Ltd.||Switzerland||The world’s largest cement company with operations spanning the developed and developing worlds||4.2%|
|Sul America S.A.||Brazil||A leading multi-line insurer in Brazil||4.1%|
|JD.com Inc., Class A, ADR||China||One of the largest e-commerce businesses in mainland China offering a range of goods such as consumer electronics and appliances||3.9%|
|Internet Plus Holdings Ltd.||China||An on-line Chinese company that offers customers access to discounted goods and services.||3.8%|
|Safran S.A.||France||Leading manufacturer of jet engines||3.8%|
|Schneider Electric SE||France||A global specialist in energy management||3.7%|
|Novartis AG - ADR||Switzerland||A diversified health care company that manufacturers pharmaceuticals and eye care products||3.4%|
Top 5 Industries
|International Fund||MSCI ACWI®
- ex USA
|Number of Holdings||38||1,855|
|Median Market Cap ($bn)||6.4||6.7|
|Weighted Average Market Cap ($bn)||36.4||49.3|
|Forecast P/E Ratio||11.4||15.3|
|Fact Sheet (International)||Download Share||Applying the Davis Investment Discipline to companies outside the United States; Portfolio characteristics, top holdings, and performance.|
|Portfolio Composition||Download Share||
Quarterly update of portfolio characteristics.
|Portfolio Manager Commentary|
|Manager Commentary - Annual Review 2015||Download View Share||
The Fund research team discusses the Portfolio, performance and how they apply the Davis Investment Discipline to uncover opportunities outside the United States.
|Insights About Davis Advisors|
|Distinctive Attributes||Download Share||How our unique culture of rigorous research and stewardship have produced important shareholder benefits, including attractive long-term results, low expenses, low turnover and high alignment of interests.|
This material is authorized for use by existing shareholders. A current Selected International Fund prospectus must accompany or precede this material if it is distributed to prospective shareholders. You should carefully consider the Fund’s investment objective, risks, fees, and expenses before investing. Read the prospectus carefully before you invest or send money.
1As of December 31, 2016.
Davis Distributors, LLC, 2949 East Elvira Road, Suite 101, Tucson, AZ 85756