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EGRAX - Eaton Vance Global Macro Absolute Return Advantage Fund

edited February 10 in Fund Discussions
I'm looking for competitors, either mutual funds or ETF's with similar strategies. Does anyone have any thoughts or opinions? Babe in the woods here.

Comments

  • @Mark,

    Alternative Global Macro funds have differing strategies and results. Some can be risky. EGRAX is fairly conservative. The table below contains some conservative Alternative Global Macro and Alternative Multi-Strategy that have performed in a similar manner. PRPFX is an outlier because it invests quite a bit in gold. I show the institutional share classes, but investor share classes may available for individual investors. Both Eaton Vance funds pay a high distribution which is misleading because some of the others pay dividends that vary from year to year.

    BlackRock Tactical Opportunities A (PCBAX), Alternative Global Macro
    BlackRock Systematic Multi-Strategy Inst (BIMBX), Alternative Multi-Strategy
    John Hancock Alternative Asset Allocation A (JAAAX), Alternative Multi-Strategy
    Eaton Vance Global Macro Absolute Return I (EIGMX), Alternative Global Macro
    Principal Global Multi-Strategy Inst (PSMIX), Alternative Multi-Strategy
    MFS Global Alternative Strategy I (DVRIX), Alternative Global Macro
    DWS Global Macro Inst (MGINX), Alternative Global Macro
    Eaton Vance Global Macro Absolute Return Advantage I (EGRIX), Alternative Global Macro
    Permanent Portfolio I (PRPFX), Alternative Global Macro
  • edited February 10
    Alas Vanguard makes the decision for me. VG nazi: "NO EGRAX for YOU!!" Can't buy or sell at VG.
  • edited February 10
    Michael Cirami and Sarah Orvin were once portfolio managers for EGRAX.
    They now manage APDPX/APHPX which could be an option—I don't know how the funds' strategies differ.
    Devesh had a conversation with Michael Cirami a while ago.
    https://www.mutualfundobserver.com/2023/12/missed-opportunity-in-brazilian-interest-rates-sowed-the-seeds-of-finding-the-right-fund/

    Artisan Partners also provides useful information on its website.
    https://www.artisanpartners.com/individual-investors/investments/emsights-capital-group/global-unconstrained-fund-aphpx.html
  • Mark said:

    I'm looking for competitors, either mutual funds or ETF's with similar strategies. Does anyone have any thoughts or opinions? Babe in the woods here.

    @Mark

    Just doing basic research or unable to purchase at your broker?

    I just moved a chunk from PIMIX to EGRIX at COB today.

    Some of the foreign bond holdings seem a bit sketchy lol. Uganda @ 15.8% fixed, anyone? Egypt at 24.45%. Keeping a close eye on this one. Riding the wave!
  • edited February 10
    "Some of the foreign bond holdings seem a bit sketchy lol.
    Uganda @ 15.8% fixed, anyone? Egypt at 24.45%."


    APDPX/APHPX has long currency exposure to Egypt, Uzbekistan, Nigeria, Iceland, and Kazakhstan.
    This fund also has long credit exposure to Suriname, Argentina, Bahamas, and Romania.
    The Artisan Global Unconstrained Fund seems to live up to its name!
  • edited February 10
    Thank you one and all. I'm selling off pieces of my US Equity funds which are tech-heavy and primarily dominated by the mag-7 and considering alternatives. I have a solid position in QLENX and I would prefer not to load that up anymore than it already is. While I compared the two I wasn't sure that it was the right approach.

    I would also like to acquire a fund with more of an internationaly focused portfolio to go along with the two funds I hold there, CGIC & JIVE. I appreciate you giving me something to chew on. EGRAX is available at Fidelity w/o a TF and it's my only brokerage firm.
  • @Mark

    Fidelity website shows EGRAX available without fee. They charge a transaction fee for Its cousin EGRIX.
  • edited February 11
    The net expense ratios for EGRAX and EGRIX are 2.22% (1.30% adj.) and 1.97% (1.05% adj.) respectively.
    Fidelity charges a $49.95 TF to purchase EGRIX.
    An investor would be slightly ahead with a $25K EGRIX (vs. EGRAX) holding after one year.
    A larger initial investment would, of course, break even after a shorter timeframe.
  • A difficulty in seeking funds with similar strategies is that one can take different views on what "similar" means.

    "Similar" may include multiple paths (different portfolio types) but managed with a related philosophy if they lead to similar results. lynnbolin21 seems to have taken that view. That can include funds like PCBAX that, in focusing on absolute returns across various categories (equities, bonds, currencies) can include securities you want to avoid (mag-7). Eight of its top ten holdings are Nvidia, Microsoft, Apple, Amazon, Meta, Tesla, and Alphabet (A and C). OTOH, net North American equity exposure is virtually nil.

    https://www.blackrock.com/us/individual/products/227384/tactical-opportunities-class-a

    "Similar" might mean a similar portfolio of fixed income securities managed with a global, flexible approach. Observant1 seems to be taking that view in mentioning APDPX / APHPX. Years ago there were fewer funds that separated currency and global credit exposure. TGBAX (and later its more aggressive sibling TTRZX) were golden until they weren't.

    I can't add much here other than the obvious - the more complex the strategy the more important it becomes to understand and be comfortable with it, at least at a high level. I'm more interested in currency diversification than active management of currency exposure. So I'm more inclined to look at global bond funds. More aggressive? Look at unconstrained bond funds. Alternative funds? A different way of approaching portfolio construction.

    Having recently returned from three weeks in Egypt (see Death on the Nile) I'm less sanguine than some of these fund managers on the country. They are working on improvements like building a river parallel to the Nile to expand agricultural land. Needed because much of the land along the Nile has been subdivided for housing. Many residential buildings deliberately incomplete to avoid taxation.

    Currency - Egyptian pound was devalued 90% within the past several years and trades for half its value on the black market. Seemed stable enough over the short time we were there, though with its low value, we were limited to $84 worth at a time at ATMs.

    (The new Grand Egyptian Museum is fantastic in every way - architecture, exhibit design, layout, etc.)

    Egypt at 24.45%
    Not sure where this number comes from. EGRAX 's fact sheet dated 1/16/2026 gives Egypt's currency exposure at 14.26% (highest for the fund). Egypt is not in the top ten for credit exposure or interest rate exposure.

    Alas Vanguard makes the decision for me. VG nazi: "NO EGRAX for YOU!!" Can't buy or sell at VG.
    Like all brokerages, VBS doesn't offer funds from every family. It sells no Eaton Vance funds or Alliance Bernstein funds. That doesn't mean that one can't sell them at Vanguard. Usually if a brokerage accepts transfers of shares it will accommodate sales.
  • Thanks @DavidF. I was trying to imply that but I guess I wasn't that clear. I edited my post.
  • edited February 11
    "I would also like to acquire a fund with more of an internationaly focused portfolio
    to go along with the two funds I hold there, CGIC & JIVE."


    I wonder whether there were better choices for an ETf ticker than JIVE?

    Interviewer: What is your favorite fund in the portfolio?
    Respondent: Man, I really love that JIVE!
    Interviewer: Seriously? You jivin' me, now?
  • edited February 11
    "That doesn't mean that one can't sell them at Vanguard.
    Usually if a brokerage accepts transfers of shares it will accommodate sales."


    EGRAX/EGRIX cannot be purchased via Vanguard's FundAccess®
    but can be transferred to a Vanguard brokerage account.
    I assume selling EGRAX/EGRIX shares would be allowed.

    I've discovered several funds which cannot be transferred
    to a Vanguard brokerage account nor purchased via FundAccess®.
    Two examples are HOSAX/HOSIX & FAJEX/FIJEX.
  • edited February 11
    "TGBAX (and later its more aggressive sibling TTRZX) were golden until they weren't."

    I owned GIM (CEF sibling) for several years but exited the position a long time ago.
    This investment gained just a few dollars—there was obviously an opportunity cost.
    The PM, Michael Hasenstab, had a "hot hand" for quite a few years but then lost his mojo.
    Unlike Muddy Waters, Mr. Hasenstab could not get his mojo working.
  • edited February 11
    While you were watching (or not), GIM (Michael Hasenstab) was acquired hostilely by SABA (activist Boaz Weinstein; fund name, objectives & ticker were changed) and there is now a proposal to merge SABA with BRW (also Boaz Weinstein). Both SABA and BRW are comparable in sizes and trade at discounts - as did GIM.

    So, activists aren't a solution for the discount problem of CEFs. Boaz Weinstein is a raider of CEFs trading at discounts.

    https://finance.yahoo.com/news/saba-capital-income-opportunities-fund-213000497.html

  • edited February 11
    msf said:

    ...
    Egypt at 24.45%
    Not sure where this number comes from. EGRAX 's fact sheet dated 1/16/2026 gives Egypt's currency exposure at 14.26% (highest for the fund). Egypt is not in the top ten for credit exposure or interest rate exposure.

    ..

    I understand how my post might have been confusing. I was referring to the coupon rate of the Egyptian bonds held within, based on M*.

    Egypt Govt Bond Fixed Coupon 24.458000 Maturity 20271001

    I should not have assumed context would make that clear. I.e. - "Uganda @ 15.8% fixed" I knew when I posted it, that it could be misconstrued.

    I cannot vouch for M* veracity, of course. My point was that any debt paying 24.458 coupon, is likely to be risky stuff. Apologies for the loose wording.
  • Thanks for the clarification.

    According to the fund's annual statement (Oct 2025), the fund held three Egyptian bonds. The largest (in term of value) was the one you gave, with a coupon of 24.458%. The highest coupon bond (much smaller total value) paid 25.318%. (It's on p. 8 of M*'s listing of the fund's bond holdings.) All three Egyptian bonds are government bonds.

    According to the annual statement, these three bonds constituted 5.5% of the fund's holdings. The fixed rate government bonds from from Turkey may have been the highest yielding in the portfolio at 26% - 30%. (See p.2 of M*'s listing of fund holdings for the two larger bonds. The small bond with the 30% coupon, worth $8M, is too small to be listed by M*.)

    How the fund is managing these credit risks is left as an exercise to interested prospective investors.
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