Skip to Content
Fund Spy

3 Struggling Foreign Large-Growth Funds That Should Bounce Back

Their recent woes don’t raise concerns.

Mentioned: , , , , ,

Value-oriented stocks and sectors outperformed significantly in 2016, not just in the United States but also in most international markets. Indeed, the typical fund in the foreign large-value Morningstar Category gained 3.3% for the year and the MSCI EAFE Value Index gained 5%, while the foreign large-growth category lost 2.1% and the MSCI EAFE Growth Index lost 3.0%. Of Morningstar’s six diversified foreign stock categories, only foreign small/mid-growth performed worse than foreign large-growth, losing 3.0%. (Foreign large-growth funds have gained a modest edge over their value counterparts in 2017 through March 20 but still substantially lag since the start of 2016.)

A couple of the Morningstar Medalists in the foreign large-growth category handled last year’s challenging conditions skillfully and posted solid gains.  Harding Loevner International Equity (HLMNX), with a Morningstar Analyst Rating of Silver, gained 5.0% as many of its technology and other holdings prospered, while Bronze-rated  JOHCM International Select (JOHAX) returned 4.9% as many of its basic-materials and other picks thrived.

Greg Carlson does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.

Transparency is how we protect the integrity of our work and keep empowering investors to achieve their goals and dreams. And we have unwavering standards for how we keep that integrity intact, from our research and data to our policies on content and your personal data.

We’d like to share more about how we work and what drives our day-to-day business.

We sell different types of products and services to both investment professionals and individual investors. These products and services are usually sold through license agreements or subscriptions. Our investment management business generates asset-based fees, which are calculated as a percentage of assets under management. We also sell both admissions and sponsorship packages for our investment conferences and advertising on our websites and newsletters.

How we use your information depends on the product and service that you use and your relationship with us. We may use it to:

  • Verify your identity, personalize the content you receive, or create and administer your account.
  • Provide specific products and services to you, such as portfolio management or data aggregation.
  • Develop and improve features of our offerings.
  • Gear advertisements and other marketing efforts towards your interests.

To learn more about how we handle and protect your data, visit our privacy center.

Maintaining independence and editorial freedom is essential to our mission of empowering investor success. We provide a platform for our authors to report on investments fairly, accurately, and from the investor’s point of view. We also respect individual opinions––they represent the unvarnished thinking of our people and exacting analysis of our research processes. Our authors can publish views that we may or may not agree with, but they show their work, distinguish facts from opinions, and make sure their analysis is clear and in no way misleading or deceptive.

To further protect the integrity of our editorial content, we keep a strict separation between our sales teams and authors to remove any pressure or influence on our analyses and research.

Read our editorial policy to learn more about our process.