March 14, 2019 – Global media company Forbes quotes Sextant Global High Income Fund portfolio manager Bryce Fegley, in the article “In Low Yield World, Global Investors Turn To Big Dividend Foreign Stocks,” published March 14, 2019.
In the article, Forbes senior contributor Kenneth Rapoza asks various fund managers to name their favorite stocks with dividend yields of five percent or higher. Rapoza found the bulk of the managers' recommended high-yielders come from emerging markets.
Fegley identifies Hopewell Highway Infrastructure, a toll road operator in China, as one of his top picks.
"We bought it a while ago, back when I was looking for diversification in Asia," he said. "Hopewell is not a Chinese monopoly, but they do have control over some infrastructure. So from a bottom-up perspective, they always looked pretty good to us."
"It’s easier to be contrarian," says Fegley. "If you want to look at high yield you're going to find most of them in emerging markets anyway. And if you want to limit some of the forex [currency exchange rate] volatility, then energy stocks are better than financials. You just might not find 5% yield."
Bryce Fegley MS, CFA®, CIPM® joined Saturna Capital in 2001. He worked in brokerage and trading, and later as an investment analyst. Beginning in 2010, he served two years as president of Saturna’s wholly-owned Malaysian subsidiary, Saturna Sdn. Bhd., in Kuala Lumpur. He has been portfolio manager of the Sextant Global High Income Fund since 2012.
For more information about the Sextant Global High Income Fund, read A Global, Asset Allocation Approach the High Income Investing.
As of March 31, 2019, Hopewell Highway Infrastructure comprised 1.73% of the Sextant Global High Income Fund.