Harris | Oakmark Expands ETF Offerings with New Products
Harris | Oakmark has taken a significant step in enhancing its diverse suite of investment options by launching two innovative exchange-traded funds (ETFs). These new additions, the Oakmark International Large Cap ETF (OAKI) and the Oakmark Global Large Cap ETF (OAKG), are designed to offer investors robust opportunities in global markets, aligning with Harris | Oakmark's long-standing value investment philosophy.
Understanding the New ETFs
The Oakmark International Large Cap ETF (OAKI) focuses on identifying quality companies that are primarily based outside of the U.S. Expected to hold a minimum of 40 distinct companies, this fund is managed by a seasoned team including David Herro, CFA, who has received accolades such as the International Equity Manager of the Decade from Morningstar. With a disciplined research approach, the fund aims to uncover stocks that are undervalued but hold substantial growth potential.
Similarly, the Oakmark Global Large Cap ETF (OAKG) will typically encompass between 30 to 60 companies, both from the U.S. and international locales. This ETF provides a balanced exposure across geographies, managed by the same experienced team, assuring consistency in investing strategies.
Benefits of Investing in ETFs
The introduction of these ETFs reflects Harris | Oakmark’s commitment to delivering investment solutions tailored to clients’ long-term goals. David Herro expressed enthusiasm for expanding their ETF offerings, noting that the structure of ETFs has been beneficial for other products in the firm’s portfolio, particularly in terms of transparency and liquidity. Clients can benefit from intra-day trading and enhanced tax efficiency—a combination that traditional mutual funds do not provide.
Commitment to Value Investing
Harris | Oakmark has a storied history of delivering compelling investment solutions. For nearly half a century, the firm has adhered to a value-centric philosophy, seeking out companies that are trading at a discount in comparison to their intrinsic value. Tony Coniaris, co-CIO, emphasizes that the new ETFs continue this commitment, providing clients with a professionally managed investment that prioritizes long-term value accumulation.
The firm has reported approximately $57 billion in assets under management within the Oakmark Funds as of a recent date, a testament to the strong demand for their investment strategies. Additionally, overall assets at Harris Associates have reached around $97 billion, reflecting the firm’s broad appeal among institutional and high-net-worth investors worldwide.
About Harris | Oakmark
The Oakmark Funds operate under a long-term value investment ethos, supporting the notion that superior market performance can arise from investments in undervalued companies with promising growth characteristics. Their team is dedicated to rigorous analysis to ensure they identify companies with capable management and promising potential.
Harris Associates, based in Chicago and established in 1976, serves as the advisor for the Oakmark Funds, meticulously managing a multitude of portfolios that span various investment strategies and client needs.
Final Thoughts and Insights
As the investment landscape continues to evolve, Harris | Oakmark is strategically positioning itself to meet the challenges and opportunities presented in global markets. By launching the Oakmark International Large Cap ETF and Oakmark Global Large Cap ETF, they underline a focused commitment to value investing, fostering relationships with clients, and leading the way in innovative investment solutions.
Frequently Asked Questions
What are the new ETFs launched by Harris | Oakmark?
The new ETFs are the Oakmark International Large Cap ETF (OAKI) and the Oakmark Global Large Cap ETF (OAKG), focused on global value investments.
Who manages the Oakmark ETFs?
David Herro, CFA, is among the lead managers, alongside other experienced portfolio managers including Tony Coniaris, CFA, and Eric Liu, CFA.
How does investing in ETFs benefit clients?
ETFs provide transparency, intra-day liquidity, and potential tax efficiency, making them attractive compared to traditional mutual funds.
What investment philosophy does Harris | Oakmark adhere to?
Harris | Oakmark follows a value investment philosophy, identifying companies priced below their intrinsic value with strong growth prospects.
What is the total asset under management by Harris Associates?
As of a recent reporting date, Harris Associates manages approximately $97 billion in assets.
