Thu, 1 Dec 2016
Dodge & Cox Global Stock and Oakmark Global earn high marks thanks to experienced management, distinctive strategies, and fine long-term performance.
Laura Lallos: Dodge & Cox Global Stock and Oakmark Global are two of the best picks in the world-stock category.
Both earn Gold ratings thanks to experienced management and proven, distinctive strategies. Both are backed by firms that put long-term performance over asset-gathering and will close funds to protect current shareholders. In fact, Oakmark Global recently reopened to new investors after outflows.
There is one obvious difference at the moment: Dodge & Cox Global has been one of the best performers in the category for the year to date, boosted by an overweight in technology stocks and strong selection in energy and consumer cyclicals. Oakmark Global has been one of the worst, held back by its overweight in financials and poor performing auto stocks.
This year's performance aside, both value strategies require patience at times--but both have paid off in the long run. Since Dodge & Cox Global opened in May 2008, the two are neck-and-neck: Dodge & Cox has returned a cumulative 45% over that time, and Oakmark has returned 47%. The average fund in the category was up only 30%. If you need a tiebreaker, Dodge & Cox is one of the lowest-cost options in its class.