International Equity - Eagle Global

4 min International Update: The Seismic Shift in Europe

March 2025 - Europe's outperformance at the beginning of 2025 has garnered a lot of attention. Germany's pivotal "Whatever It Takes" moment, which announced a major infrastructure stimulus program aimed at revitalizing its neglected industrial base, along with announcements for substantial re-armament of European defense, carries significant implications for both the region and global markets. In the video below, we explore some details and analyze the impact of these announcements on Europe's GDP over the coming decade, as well as their effects on earnings growth for European companies. Europe is making a significant leap with major stimulus and defense spending that could lead to a multi-year transformation, and equity markets are taking notice.

Investment Highlights

Diversification

Investing internationally allows for diversification across different markets, regions and economies. This can reduce the impact of localized market downturns while spreading risk.

Sustainable Growth At The Right Price (SGARP)

International equities offer exposure to companies operating in diverse economies with varying growth rates. The Eagle Global international equity strategy invests in sustainable growth-at-the-right-price (SGARP) companies. Emphasis is placed on companies with strong management teams that generate consistent earnings, cash flows, and returns on equity.

Industry Leaders with Sustainable Competitive Advantages

Investors often focus on short-term time horizons. Company economic performance follows much longer-term cycles. Due to these different timescales, the market often underestimates the ramifications of positive change.

Invest with Eagle Global

Expertise and Experience

The portfolio managers of the Eagle Global International Equity Strategy have an average of 30 years of industry experience, most of which have been managing this strategy at Eagle Global. The team has managed the portfolio through multiple economic cycles, gaining valuable insight into “what works” and refining the investment process to maximize risk-adjusted return potential.

Investment Options

The strategy is available at Eagle Global through a separately managed account (SMA) program or unified managed account (UMA) research models. Variations of the strategy with Eagle Global acting as sub-advisor, are available through two mutual funds managed by the Timothy Plan.

EGA International Equity Strategy Timothy Plan International Equity Fund Timothy Plan Israel Common Values Fund

Disciplined and Repeatable Process

Eagle Global's disciplined investment process incorporates both top-down and bottom-up elements to identify companies with strong fundamentals, improving growth prospects and attractive valuations. Risk is controlled by investing in financially secure companies, sector diversification and limiting position sizes. Portfolios are concentrated in 45-60 “best idea” stocks creating the freedom to be highly selective while maintaining diversification across countries, currencies, and industries.

Sustainable Change

Investors often focus on shorter-term horizons while company economic performance follows much longer-term cycles. We exploit these inefficiencies by applying disciplined financial models, qualitative fundamental research, and patience.