Driehaus International Discovery

 


Second Quarter 2010

Portfolio Manager:

Daniel Rea
Assistant Portfolio Manager:

David Mouser
Assets Under Management as of 6/30/10:

$369 Million
Inception Date:

1/1/99
Separately Managed Accounts Minimum Initial Investment: $20 Million

 

Investment Objective: Maximize capital appreciation by primarily investing in a portfolio of the equity securities of foreign companies.

 

Investment Strategy: The International Discovery Strategy invests in non-U.S. based companies. The portfolio is limited to 25% in any one industry sector at cost. Country allocation is limited to 20% of the portfolio or 1.5 times the MSCI EAFE Index at cost. The emerging markets exposure is limited to 30% of the portfolio at cost. The strategy typically maintains a portfolio consisting of 70 to 90 stocks and generally limits individual positions to less than 5% at cost.

 

 

Regional Weightings (as of 6/30/10)

 

Top Ten Holdings (as of 7/31/10)

Europe

45.3%

 

Swedbank AB

1.6%

Asia

27.8%

 

Remy Cointreau S.A.

1.5%

Americas

15.7%

 

OGX Petroleo e Gas Participacoes S/A

1.5%

Oceania

4.3%

 

BIM Birlesik Magazalar A.S.

1.5%

Middle East

1.7%

 

Vale S.A. ADS

1.5%

Africa

1.3%

 

Impala Platinum Holdings Ltd.

1.4%

Cash

3.9%

 

Sberbank

1.4%

 

 

 

Infineon Technologies AG

1.4%

 

 

 

DnB NOR ASA

1.3%

 

 

SGL Carbon SE

1.3%

 

 

Country Weightings (as of 6/30/10)

 

Sector Weightings (as of 6/30/10)

Japan

18.5%

 

Materials

17.5%

United Kingdom

10.2%

 

Industrials

17.2%

France

8.0%

 

Information Technology

14.7%

Germany

7.1%

 

Consumer Discretionary

10.9%

Canada

6.9%

 

Energy

9.6%

China

5.7%

 

Health Care

8.9%

Brazil

5.7%

 

Consumer Staples

7.7%

Australia

4.3%

 

Financials

6.1%

Russia

4.3%

 

Telecommunication Services

2.3%

Ireland

3.9%

Cash

3.7%

Sweden

3.3%

Unassigned

1.3%

Denmark

3.1%

Netherlands

2.8%

Hong Kong

2.7%

Turkey

1.6%

South Africa

1.3%

India

1.1%

Italy

1.1%

Norway

1.0%

Bermuda

0.9%

Argentina

0.8%

Peru

0.7%

United States

0.7%

Greece

0.7%

Cash

3.7%

 

 

 

 

Average Annual Total Return (as of 6/30/10)
______Annualized______  

2nd

QTR

YTD

 1 Year 3 Year 5 Year 10 Year  Since
Inception
(1/1/99)

Driehaus International Discovery

-13.55%

-11.65%

11.16%

-13.35%

3.94%

3.86%

15.06%

MSCI AC World ex USA Growth Index1

-11.29%

-9.42%

11.96%

-9.67%

3.96%

-0.01%

2.14%

MSCI AC World ex USA Index2

-12.26%

-10.81%

10.87%

-10.28%

3.83%

2.28%

4.09%

 

 

 

Cumulative Total Return (1/1/99 to 6/30/10)
Driehaus International Discovery

402%

MSCI AC World ex USA Growth Index1

28%

MSCI AC World ex USA Index2

59%

 

 

For the most current month-end summary sheet for the Driehaus International Discovery Strategy, please click here.

 

 

Sources: eVestment Alliance, LLC, SS&C Inc., FactSet Research Systems Inc., Morgan Stanley Capital International and Standard & Poor's Global Industry Classification Standard methodology to identify sector classifications, Thomson Financial IBES, Thomson Worldscope Fundamentals to identify regional weightings

 

The performance numbers represent a composite of international accounts managed by Driehaus Capital Management LLC (“DCM”) (the “Composite”).  These numbers are estimated for the period as all underlying accounts have not yet been reconciled. All rates of return include reinvested dividends and other earnings and are net of fees and brokerage commissions. The performance data shown above represents past performance and does not guarantee future results. Current performance may be lower or higher than the performance data quoted.

 

The performance results for the Composite are shown in comparison to an index. Unlike the Composite, this index is not actively managed and does not reflect the deduction of any advisory or other fees and expenses.  While the securities comprising the index are not identical to those in the Composite, DCM believes this comparison may be useful in evaluating performance. 

 

1The Morgan Stanley Capital International All Country World Ex-USA Growth Index (MSCI AC World ex USA Growth Index ) is a subset of the MSCI All Country World Ex-USA Index and is composed only of the MSCI All Country World Ex-USA Index stocks which are categorized as growth stocks.

 

2 The MSCI All Country World Ex-USA Index  (MSCI All Country World Ex-USA Index) is a market capitalization-weighted index designed to measure equity market performance in 47 global developed and emerging markets, excluding the U.S.

 

Copyright MSCI 2010. All Rights Reserved. Without prior written permission of MSCI, this information and any other MSCI intellectual property may only be used for your internal use, may not be reproduced or redisseminated in any form and may not be used to create any financial instruments or products or any indices. This information is provided on an “as is” basis, and the user of this information assumes the entire risk of any use made of this information. Neither MSCI, each of its affiliates nor any third party involved in or related to the computing, compiling or creating of any MSCI information (collectively, the “MSCI Parties”) expressly disclaims all warranties (including, without limitation, any warranties of originality, accuracy, completeness, timeliness, non-infringement, merchantability and fitness for a particular purpose) with respect to this information. Without limiting any of the foregoing, in no event shall any MSCI Party have any liability for any direct, indirect, special, incidental, punitive, consequential (including, without limitation, lost profits) or any other damages relating to any use of this information.

 

For additional disclosure on the Composite, please click here.