https://www.sec.gov/Archives/edgar/data/1156906/000119312523276837/d548770d497.htm
497 1 d548770d497.htm CAUSEWAY CAPITAL MANAGEMENT TRUST
CAUSEWAY CAPITAL MANAGEMENT TRUST
(the “Trust”)
Causeway Concentrated Equity Fund
(the “Fund”)
SUPPLEMENT DATED NOVEMBER 14, 2023
TO THE SUMMARY PROSPECTUS AND PROSPECTUS,
DATED JANUARY 27, 2023
AND STATEMENT OF ADDITIONAL INFORMATION
DATED JANUARY 27, 2023
THIS SUPPLEMENT PROVIDES NEW AND ADDITIONAL INFORMATION BEYOND THAT CONTAINED IN THE FUND’S SUMMARY PROSPECTUS, PROSPECTUS AND STATEMENT OF ADDITIONAL INFORMATION AND SHOULD BE READ IN CONJUNCTION WITH THE FUND’S SUMMARY PROSPECTUS, PROSPECTUS AND STATEMENT OF ADDITIONAL INFORMATION. CAPITALIZED TERMS NOT DEFINED HEREIN ARE AS DEFINED IN THE FUND’S SUMMARY PROSPECTUS, PROSPECTUS AND STATEMENT OF ADDITIONAL INFORMATION.
The Board of Trustees of the Trust has approved a Plan of Liquidation for the Fund, pursuant to which the Fund will be liquidated (the “Liquidation”) on or about December 14, 2023 (the “Liquidation Date”). The Trust may change the Liquidation Date without notice at the discretion of the Trust’s officers.
Suspension of Purchases. In connection with the Liquidation, effective as of the close of business on November 14, 2023, the Fund will close to new purchases of shares. Prior to the Liquidation Date, shareholders may continue to redeem their shares in the manner described in the “How to Sell Fund Shares” section of the Prospectus.
Once the Fund begins to liquidate its portfolio in preparation for Liquidation, the Fund will not pursue its investment objective or engage in normal business activities, except for the purposes of winding up its business and affairs, preserving the value of its assets, paying its liabilities, and distributing its remaining assets to shareholders.
Mechanics. Prior to the Liquidation Date, the Fund may make a distribution of any net investment income, net realized capital gains and/or any additional amounts necessary to avoid any excise tax obligations for the Fund. The Trust will automatically redeem any shares of the Fund outstanding on the Liquidation Date as of the close of business on that date. The proceeds of any such redemption will be the net asset value of such shares after the Fund has paid or provided for all charges, taxes, expenses and liabilities of the Fund. The Fund’s investment adviser will bear all of the expenses (other than brokerage or other portfolio transaction expenses) associated with the liquidation of the Fund to the extent such expenses exceed the amount of the Fund’s normal and customary fees and expenses accrued by the Fund through the Liquidation Date. It is expected that the Fund will pay to shareholders the proceeds of Liquidation in cash to all shareholders of record of the Fund on the Liquidation Date.
U.S. Federal Income Tax Matters. For shares held in taxable accounts, whether you sell your shares or are automatically redeemed as described above, you will generally recognize a capital gain (or loss) equal to the amount you receive for your shares above (or below) your adjusted cost basis in such shares. See the section titled “Taxes” in the Prospectus. Please consult your personal tax adviser about the potential tax consequences.
If you have any questions regarding the Liquidation, you may contact the Fund at 1-866-947-7000.
PLEASE RETAIN THIS SUPPLEMENT FOR FUTURE REFERENCE.

OK, just got info thru 6/30 (all vs S&P 500):
YTD 22.2 vs 16.9
1Yr 25.0 vs 19.6
3Yr 18.5 vs 14.6
5Yr 15.5 vs 12.3
10Yr 14.8 vs 12.9

Triavarte's Adam Parker was interviewed on CNBC Closing Bell Friday. The video is available via CNBC Pro (fee) which I do not subscribe to.
https://www.cnbc.com/video/2023/11/10/pro-watch-cnbcas-full-interview-with-trivariates-adam-parker-and-requisites-bryn-talkington.html
Included was a discussion of small caps. He stated (paraphrasing) we are at least 3-6 months away in this bizness/market cycle from SCs being a proper/correct play.
.....

Ooopsy! With the RUT UP almost 5% today, so much for that projection!

I tried to use their mutual fund search tool and asked the tool to give me all the US equity funds. I received a "There are 0 results." I am sure they offer more than 0 US equity mutual funds but could they make their website a little bit more friendly?
https://www.interactivebrokers.com/en/trading/fundscanner.php#/
The problem is with the data, not the tool. Do a search for stock funds, not equity funds. VMVFX is reported as a stock fund. The stock fund search still won't get all stock (equity) funds because the database reports many funds, such as VHCAX, as being of type "N/A".
Go to the link below which talks about incoming wires and is silent about outgoing wires - https://www.interactivebrokers.com/en/support/fund-my-account.php?cid=f035942a-e8ad-4d5e-b105-249bcbe6ba32
For withdrawal fees, click on "Withdrawals and Physical Deposits" on this page:
https://www.interactivebrokers.com/en/pricing/other-fees.php

IBKR allows one free withdrawal request per calendar month. After the first withdrawal (of any kind), IBKR will charge the fees listed below for any subsequent withdrawal:
$10.00 (Bank Wire/Transfer); $4.00 (Checks); $1.00 (BACS/GIRO/ACH/EFT/SEPA)

Under ACH transfers, it says, "Limited to $100,000 per seven days." Hotel California?
More precisely, that is under the heading: "Connect Your Bank via ACH". The limit applies to ACH pulls from your bank. ACH pushes by your bank to IBKR are described under "Direct ACH Transfer from your Bank" and are unlimited.
Funds pushed by your bank "are available for withdrawal [from IBKR] three business days after being deposited." Not unusual. OTOH, funds pulled from your bank "are available for withdrawal to the originating bank account after five business days. If you wish to withdraw the funds to an account other than the originating bank account, the hold period is 44 business days." Emphasis in original.
You can check in any time you like (up to $100K/week), but you can rarely leave (for 44 days). Welcome to the Hotel IBKR.

I have not been to a Schwab branch in more than a decade. I like to not have to interact with customer service at any brokerage but if something goes wrong, the customer service needs to be available and be competent and not just BS away. Many posters in this forum know more about the large brokerages' products and services (and SEC rules) than many, many customer service reps at those brokerages.
From my quick review, it appears the Pro account has a minimum fees of $10 per month (reduced by commissions paid during the month). I will accept that fees if I never have to contact their customer service.
I tried to use their mutual fund search tool and asked the tool to give me all the US equity funds. I received a "There are 0 results." I am sure they offer more than 0 US equity mutual funds but could they make their website a little bit more friendly? I can live without using IBKR for mutual funds but not with an uncooperative website.
I tried to figure out if I can wire funds from IBKR to other brokerages and banks and how much IBKR would charge. Go to the link below which talks about incoming wires and is silent about outgoing wires - https://www.interactivebrokers.com/en/support/fund-my-account.php?cid=f035942a-e8ad-4d5e-b105-249bcbe6ba32
Under ACH transfers, it says, "Limited to $100,000 per seven days." Hotel California?
I am sure IBKR has more wide ranging capabilities than other large traditional brokerages but I first need a brokerage to do basic things well before getting excited about trading stocks on foreign exchanges.
IBKR is very profitable (unlike HOOD) and so they must be doing something right.
Regular account trades are routed under "payments for order flows" and that is how they distinguish the Pro account commissions.

You may already know this but many TF funds at Fidelity can be subsequently purchased
for $5 after the initial purchase.

From my quick use, IBKR research tool is a bit flimsy (non-existent?) for mutual funds. ( I wonder how good their research tools for other products are.). The $15 transaction fees mentioned earlier is for each leg.

TCIFX is the "Wellesley" version with 30-50% stocks, 50-70% fixed-income. Ticker TCIFX is not recognized by MFO, M*, Yahoo Finance, but Bloomberg shows it as pending. https://www.bloomberg.com/quote/TCIFX:US#xj4y7vzkg
The SAME 2 managers (Giroux, Shuggi) are listed now as in 2017. So, the excuse of some "...internal job transition involving the fund's then co-portfolio manager" may only hint that Giroux "demanded" a better role for him, and "got it" through the creation of is separate unit within Rowe Price "for him". Giroux is now a big shot at Rowe Price (CIO, unit head, portfolio manager). Now, he can play ball again - TCAF, TCIFX, etc.
https://www.troweprice.com/financial-intermediary/us/en/search.html/biokey/3616ee1e-20a0-48e6-840b-748b73b32d6c
https://en.wikipedia.org/wiki/David_R._Giroux

@WABAC, it's the non-selectivity of SC indexes that is the problem (not just Vanguard index funds). This is true of R2000 and Extended-Market/Completion indexes (Total market minus SP500 or R1000). In being comprehensive, these SC indexes have lots of garbage - up to 40% of companies are losing money. To many pure indexers, this is fine as they object to any index modifications.
IF indexing SC, a better index is S&P SC 600 with ETFs IJR, SPSM.

Even then I prefer more selective index slices than provided by cap-weighting alone.
And I never gave up on active management. The main issues have been availability and cost. Active etf's solve that. And it seems that people are interested.

@WABAC, it's the non-selectivity of SC indexes that is the problem (not just Vanguard index funds). This is true of R2000 and Extended-Market/Completion indexes (Total market minus SP500 or R1000). In being comprehensive, these SC indexes have lots of garbage - up to 40% of companies are losing money. To many pure indexers, this is fine as they object to any index modifications.
IF indexing SC, a better index is S&P SC 600 with ETFs IJR, SPSM.

Clients may earn interest on positive settled cash balances.
Accounts with a Net Asset Value (NAV) of USD 100,000 (or equivalent) or more are paid interest at the full rate for which they are eligible. Accounts with NAV of less than USD 100,000 (or equivalent) receive interest at rates proportional to the size of the account. There will be no interest paid on the first USD 10,000 of cash.

https://www.interactivebrokers.com/en/accounts/fees/pricing-interest-rates.php
Since the first $10K earns no interest, you can only earn a blended rate up to but not including the "full rate". And that's assuming that your total account value is at least $100K, else your earnings are prorated (multiplied by account value/$100K)
In case that isn't clear, the page has a handy dandy calculator.
The full rate is "benchmark - 50 basis points" for a "Pro" account and "benchmark - 150 basis points" for a "Lite" account.
What's the benchmark? Currently 5.330%
https://www.interactivebrokers.com/en/pricing/reference-benchmark-rates-int.php
Note that this is on settled cash. You might be losing out on a day's interest relative to a broker like Fidelity where its MMFs pay divs starting the first business day after purchase, though that may have been purchased with proceeds of a sale that doesn't settle for two days (T+2).

Shares purchased by ... orders [other than by wire] generally begin to earn dividends on the first business day following the day of purchase.

FDRXX prospectus
This is not a sweep account. Cash is not swept from the brokerage into a government MMF (as at Fidelity) or into FDIC-insured banks (as at Schwab). Rather, the cash just "is" - a general liability of the brokerage. This is called a free credit balance. At IBKR it gets $250K of SIPC coverage plus $900K of excess SIPC coverage via Lloyd's of London. Though if you go "Pro", you can get FDIC coverage.
https://www.interactivebrokers.com/en/general/security-investor-protection.php
"Pro" means paying commissions on all trades in exchange for lower margin rates, higher interest rates, etc.
https://www.interactivebrokers.com/en/trading/why-ibkr-lite.php
(Click on blue "Compare Plans" button near bottom of page.)

Steve Rommick is also one of the managers on another allocation fund, SOR. Source Capital is an allocation CEF that has beaten the 60/40 bogey the fund uses over the past 1 yr and 3 yr periods, but it has not done so for longer periods. Rommick didn't start managing it until 2015, FWIIW. SOR at last report held 20% in non-US stocks. Hard to say what overlap there might be among FPACX, SOR, and the new ETF.

The Week in Charts (11/12/23)
The most important charts and themes in markets, including...
00:00 Intro
00:16 The Tremendous Two (Apple & Microsoft)
03:35 The Fantastic Four (Apple, Microsoft, Google & Amazon)
06:41 The Enormous Eight (Apple, Microsoft, Google, Amazon, Netflix, Tesla, Meta, & Nvidia)
12:16 2023: The Inverse of 2022
14:56 Rising Debt/Delinquencies (Credit Cards, Auto Loans)
19:07 Next Inflation Report: Likely to Decline
21:51 Higher Real Central Bank Rates (Today vs. 2 years ago)
25:37 Spending on Experiences (Concerts, Travel)
27:38 Is Housing Supply Starting to Normalize?
30:41 From $47 billion to $0 (WeWork)
32:40 Outpacing Inflation With I Bonds (updated rates)
Video
Blog

As one of the affected users :-( I can assure you that that message is not for naught. My account still reads "At the close of business on November 1, 2023 ..."
I'm glad it works for you and for others, and perhaps for 99% of TIAA users. Really I am. Unfortunately, that doesn't help me.
In the past I've been accused of being a high maintenance customer. But it's not me, it's them ...
In my account, if I go to Actions, "Daily Summary" produces a page that reads (top right): Daily Statement as of 11/1/23. At the bottom of the page it says:
"Daily Statement Printed on 11/12/23 at 03:53 PM ET"
In my friend's account, Actions, "Daily Summary" produces a page that reads (top right): Daily Statement as of 11/10/23. At the bottom of the page it says:
"Daily Statement Printed on 11/12/23 at 03:58 PM ET"
And there's no way for me to get to a trading/exchange page for my account. Different products go off into different sections of the website. The retail wing (or at least my part of it) has flown the coop.

@Investor Your last sentence, " In investing, perfection is the enemy of good enough returns. " What would you consider, good enough return, 5% , 10% & in what time space ? I'm sure age of investor would have something to be considered.
Thanks for your time, Derf

It is hard to pin a absolute value for the good returns. For different decades there has been different good returns. Sometimes 1% is a good return for a decade and 20% is a bad return for another.
If you look very long periods say rolling 15-20 years, good returns have been around 7-9% range which include multiple crashes and booms. If your time horizon is not that long or you cannot accept the volatility of such long periods, then good returns associated with reduced portfolio risk will also be less.

I logged into TIAA again today, Sunday, 12:45pm (Central), 11/12/23..
I see the same message still, "We are currently experiencing an operational outage with one of our vendors, and the systems are unavailable, with no estimated time for resolution. This outage could last several days. Current account values are unavailable. General product inquiries may be directed to the service center at 877-694-0305."
Balances shown are as of 11/10/23.
Exchanging VAs/funds screen works.
Activity page opens but I have no recent activity.
Vintages page/tab opens for my TIAA Traditional SV.
These are the things that I typically use.
Because TIAA has been keeping the message on, some users may still be affected, or some one forgot to turn it off.

I could and can log in fine. However, as the message says upon logging in, "current account values are unavailable". No change.
This problem is product-specific (note the wording "one of our vendors"). I have been able to get investment info for someone else's account who has non-overlapping products.
When I try to get details about my particular investment, I get a java server error. Eclipse is a Java IDE that I used to use. I'm not familiar with SAML (an authentication package), though this error at the top of the stack is consistent with the message that TIAA is having problems communicating with its third party vendor.

Partner Connection ID: MCCAMISH
Adapter: Unknown
(SP) ::: MCCAMISH is not active.
Please contact your system administrator for assistance regarding this error.
Full Stack Trace:
org.sourceid.websso.profiles.ProcessRuntimeException: (SP) ::: MCCAMISH is not active.
at org.sourceid.saml20.profiles.idp.AuthnSourceSupportBase.doLookupAuthNs(AuthnSourceSupportBase.java:955)
... at roughly a dozen org.sourceid.saml20 (or websso) methods ...
at org.sourceid.websso.servlet.EnforcerServletBase.checkProcess(EnforcerServletBase.java:79)
at org.sourceid.websso.servlet.EnforcerServletBase.doGet(EnforcerServletBase.java:135)
at javax.servlet.http.HttpServlet.service(HttpServlet.java:687)
at javax.servlet.http.HttpServlet.service(HttpServlet.java:790)
... at roughly 90 org.eclipse methods ...
at org.eclipse.jetty.util.thread.QueuedThreadPool$Runner.run(QueuedThreadPool.java:1034)
at java.base/java.lang.Thread.run(Unknown Source)

Can't wait to figure out which tail is wagging which dog here and what the systemic risks might look like.....
CDOs for cyber, anyone?
Cyber ‘Catastrophe Bonds’ Move Step Closer to Hitting Public Debt Markets

By Gautam Naik
November 12, 2023 at 8:30 AM ESTCyber catastrophe bonds may be about to move out of the shadows of private deal-making and into the public debt markets.
So-called cat bonds, which farm out hard-to-insure risks to capital market investors in exchange for double-digit returns, have typically been built around natural disasters such as hurricanes. But as the potential fallout of business-halting cyberattacks becomes too big to insure, issuers are seizing the moment. Beazley Plc, which owns specialist insurers across Europe and the US, is exploring a potential $100 million cyber cat bond, according to Artemis, a research firm specializing in insurance-linked securities. And Axis Capital is preparing to issue a $75 million cyber catastrophe bond, according to a preliminary offer document seen by Bloomberg. Spokespeople for Axis Capital and Beazley declined to comment on the deals. The wider market for cat bonds is likely to reach a record $40 billion this year. A lot of that growth has been fueled by the impact of climate change, as extreme weather shocks threaten to make insurers’ business models untenable. For that reason, some of the most active players in the cat bond market are reinsurers such as Swiss Re AG and Munich Re AG. Investors have been drawn to returns that trounce those of US Treasuries. This year, the Swiss Re Global Cat Bond Performance Index is up 18%, while the Bloomberg US Treasury Index has dropped about 1%. Issuers of cyber cat bonds want to protect themselves from financial losses that can follow a major cyberattack, including lost revenue, legal fees and regulatory fines. Read More: ICBC Hit by Cyberattack, Tells Clients to Reroute Trades
Insurance-linked securities “offer corporate boards and business owners a degree of comfort over their balance sheet resilience in the event of a larger cyber event,” according to a recent report co-authored by Kathleen Faries, chief executive officer of Artex Capital Solutions.
But with limited historical data to analyze, as well as increasingly sophisticated forms of cyber crime, investors face unusually high levels of risk....
< - snip - >
https://www.bloomberg.com/news/articles/2023-11-12/cyber-catastrophe-bonds-move-step-closer-to-hitting-public-debt-markets?srnd=premium

Yes, indeed: fund managers might surprise you! My portfolio X-Ray shows:
9% in small value and
5% in small blend.

Yup. Just checked a 40/60 TRP fund of funds I own. Its benchmark allocation for the 3 small cap stock funds it holds (including PRNHX) is about 2.7% / As of June ‘23 it was at about 2.5%%. That doesn’t move the needle much in my case, as that holding is only 10% of portfolio. But I do own a bit over 3% inside a conglomerate / holding company which is focused in the small cap area.
Out of curiosity, checked Price’s growth oriented fund of funds, PRSGX. Didn’t this one used to be called “Spectrum Growth”? Now it carries a different name. Anyhow, their most recent report gives a range of 0-25% allocated to small cap funds. But the fund was holding only 10% actual as of June ‘23.
Perhaps relevant to the discussion is the possibility / desirability of investors like KHaw24 considering some good allocation funds (They come in a variety of flavors) fitting one’s risk profile and allowing the manager(s) to make those decisions? I think small caps are fertile ground for patient investors; but they can give you whiplash over shorter periods.

What happens in 10 or 15 years?
I like smalls, and always hold some. I wish I had owned FMIMX all that time. But it always looked so boring. M* calls it a mid-cap, but it's currently 67% small. I own some now, and I expect to buy more in the future.
I own RWJ, and I am looking at CALF. Both are on the lower end of the debt/equity ratio, as is FMIMX for that matter.
Keep in mind that any etf based on the S&P 400 will tick the small cap box for M*. In that space I own XMHQ. It also has a low D/E ratio, as do most things on my shopping list. Seems to me that the current environment encourages an eye on debt exposure.
I am keeping an eye on GRPM to see how Invesco's GARP strategy works in that space. Until recently it was an equal-weight 400 fund. I have been pleased with SPGP, which has a longer track record, but in the 500.
Buy now, or wait? I might do some early shopping in the taxable, but mostly I think I'll wait till the budget mess is settled.