New 5-Star Morningstar Rating for International Small Cap
Now is the Time for International Small Cap
Historically, periods of low valuation have preceded international small-cap stocks greatest forward returns. International small caps currently trade at near 20-year lows and the valuation spread between the cheapest and most expensive quintiles at the 87th percentile, it’s an exceptionally compelling time for cheap international small-cap stocks. At Pzena, our global coverage and commitment to intensive fundamental research enable us to sift through this undiscovered and under-allocated asset class.
The Opportunity:
- Exposure to under researched businesses
- Capitalizing on Pzena research depth
- Valuation Spread is ver attractive
Another Fund in the Pzena Family
Our Emerging Marketing Value Fund (PZIEX) has a Morningstar rating of 4-stars and invests at least 80% of its net assets (plus any borrowings for investment purposes) in stocks of companies located in emerging market countries.
Additional Resources on International Small Cap:
Q1 2023 Commentary
Small-Cap Stocks Are Trading Near 20-Year Low Valuations: In our Q1 commentary, we discuss how small-cap stocks globally are attractively valued and have historically generated better returns than large-caps. Small-cap stocks offer a broader, more diverse, less correlated, and undiscovered universe of opportunities.
Podcast
The Big Opportunity in Small Stocks:On our latest podcast episode, Portfolio Managers Evan Fox and Matthew Ring sit down with Pzena’s Co-Head of North American Distribution, Valerie Mignone Arnold to examine the distinct features of the asset class that have contributed to small caps outperforming large caps in the long-run.