Portfolio Manager Tad Fujimura shares his insights on Japan’s economic recovery, small-cap valuations, attractive sectors, and notable additions and deletions from the portfolio.
In the following commentary, the Portfolio Managers of the Hennessy Equity and Income Fund (HEIFX/HEIIX) discuss the outperformance of value-oriented stocks, merger and acquisition activity, and a few high conviction holdings. They also share their views on interest rates and where they are finding fixed income opportunities.
When investing in Japanese businesses, we believe it is imperative to select a manager who is immersed in the culture and can perform in-depth, company-specific research to build a concentrated portfolio of Japanese companies that can outperform a benchmark and weather volatility.
As factory automation systems appear in factories throughout the world, Japanese companies are slated to be major beneficiaries - both as producers and users of robotics.
Masa Takeda of Tokyo-based SPARX Asset Management Co., Ltd., subadvisor to the Hennessy Japan Fund, discusses economic activity during the pandemic, the new Prime Minister’s initiatives, current valuations, ESG investing, and his outlook for Japanese investing in 2021.
Over the last decade, strong growth in production has allowed the U.S. to become a net exporter of natural gas. Both liquefied natural gas (LNG) exports and pipeline exports to Mexico have been growing rapidly, and significant further growth is forecast.
Japanese equities are currently trading at compelling valuation levels compared to other developed equity markets around the world and relative to their own historical averages. We believe the Japanese market deserves a closer look.
With many small- and large-cap funds extending their reach to the mid-cap space, some investors may assume they have covered all asset classes. They could be missing out on the power of a mid-cap allocation.
In the following commentary, the Portfolio Managers of the Hennessy Technology Fund Portfolio discuss the Fund’s strategy, investment process, and portfolio construction.
The market showed strength and resilience in 2020, hitting all-time record highs in December. With promising vaccines, historically low interest rates, and strong fundamentals, there is optimism for equities in 2021.