MFS International Value Fund
Expense Ratio: 1.21%
While it’s easy to think only of domestic investments when it comes to large caps, there are countless great companies in foreign markets as well. One way to take advantage of this is with the MFS International Value Fund (MGIAX), which has $10.4 billion in net assets.
While portfolio managers Barnaby Wiener and Benjamin Stone look for good values (as obvious by the fund’s name), this does not mean they invest in distressed companies. Instead, the focus is mostly on those that have strong operations but may be temporarily out-of-favor with investors.
Such a philosophy sure has paid off. Over the last decade, the fund has returned an average of 11.4% annually, while that number jumps to 15.8% over the last three years.
At this point, nearly 70% of MGIAX’s portfolio is in Europe. Of course, in light of the economic troubles, there are certainly lots of undervalued companies there. Top holdings include KDDI (KDDIF), Danone (DANOY), GlaxoSmithKline (GSK) and Roche Holding (RHHBY).