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Global Equity Allocation Fund

  • Vehicle Mutual Fund
  • Asset Class Equities

Overview

The GMO Global Equity Allocation Fund seeks to generate total return greater than that of the MSCI All Country World Index.

The philosophy that underlies all of GMO’s Asset Allocation investment strategies is the belief that, at times and in the short term, the pricing of asset classes can deviate from true intrinsic value, but mean reverts to appropriate valuation levels over the long term. Using GMO’s 7-Year Asset Class Forecasts, the Fund seeks to allocate to areas of the global equity markets we believe are most attractively valued. Our approach combines the best of GMO’s top-down Asset Allocation views and bottom-up equity research to identify mispricings at both the asset class and individual security levels. The Fund allocates to equity strategies that are actively managed by other GMO investment teams with expertise and experience in security selection within their respective markets.

Facts

Doc Table
Fund Inception Date November 26, 1996
Fund Total Assets as of 10/31/2019 $1.7bn USD
Benchmark MSCI ACWI +

Share Class III

Inception Date November 26, 1996
Ticker Symbol GMGEX
CUSIP 362007148
NAV as of 11/18/2019 26.76
Net Expense Ratio 1 0.61
Gross Expense Ratio 2 0.62
Minimum Investment Size $5mm in GMO

1 Net Expense Ratio reflects the reduction of expenses from fee reimbursements. The fee reimbursements will continue until at least June 30, 2020. Elimination of this reimbursement will result in higher fees and lower performance.

2 Gross Expense Ratio is equal to the Funds Total Annual Operating Expenses set forth in the Funds most recent prospectus dated June 30, 2019.

Performance

Quarter-End as of September 30, 2019(USD, %)

Table Caption
1-Year 3-Year 5-Year 10-Year ITD
Global Equity Allocation Fund -0.58 7.70 4.41 7.07 7.56
MSCI ACWI + 1.38 9.71 6.65 8.35 6.21
MSCI ACWI 1.38 9.71 6.65 8.35 6.14
  • Global Equity Allocation Fund
  • MSCI ACWI +
  • MSCI ACWI

Inception Date: November 26, 1996

Returns shown for periods greater than one year are on an annualized basis.

If certain expenses were not reimbursed, performance would be lower. Transaction costs, if any, are paid to the fund to offset the cost of portfolio transactions to invest or raise cash.

Performance data quoted represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance data may be lower or higher than the performance data provided herein.

Quarter-End as of September 30, 2019(USD, %)

Table Caption
QTD YTD 1-Year 3-Year 5-Year 10-Year ITD
Global Equity Allocation Fund -0.52 13.71 -0.58 7.70 4.41 7.07 7.56
MSCI ACWI + -0.03 16.20 1.38 9.71 6.65 8.35 6.21
MSCI ACWI -0.03 16.20 1.38 9.71 6.65 8.35 6.14
  • Global Equity Allocation Fund
  • MSCI ACWI +
  • MSCI ACWI

Inception Date: November 26, 1996

Returns shown for periods greater than one year are on an annualized basis.

Net of all fees and expenses after reimbursement by the Manager, but not transaction costs, if any. If certain expenses were not reimbursed, performance would be lower.

Performance data quoted represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance data may be lower or higher than the performance data provided herein.

Quarter-End as of September 30, 2019(USD, %)

Table Caption
QTD YTD 1-Year 3-Year 5-Year 10-Year ITD
Global Equity Allocation Fund -0.38 14.19 -0.01 8.31 5.01 7.65 8.16
MSCI ACWI + -0.03 16.20 1.38 9.71 6.65 8.35 6.21
MSCI ACWI -0.03 16.20 1.38 9.71 6.65 8.35 6.14
  • Global Equity Allocation Fund
  • MSCI ACWI +
  • MSCI ACWI

Inception Date: November 26, 1996

Returns shown for periods greater than one year are on an annualized basis.

Gross of fees, expenses and transaction costs, if any. If these fees, expenses and costs were included, performance would be lower.

Performance data quoted represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance data may be lower or higher than the performance data provided herein.

Month-End as of October 31, 2019(USD, %)

Table Caption
MTD QTD YTD 1-Year 3-Year 5-Year 10-Year ITD
Global Equity Allocation Fund 3.88 3.88 18.12 12.17 9.62 5.28 7.56 7.71
MSCI ACWI + 2.74 2.74 19.38 12.59 11.34 7.08 8.81 6.31
MSCI ACWI 2.74 2.74 19.38 12.59 11.34 7.08 8.81 6.24
  • Global Equity Allocation Fund
  • MSCI ACWI +
  • MSCI ACWI

Inception Date: November 26, 1996

Returns shown for periods greater than one year are on an annualized basis.

Net of all fees and expenses after reimbursement by the Manager, but not transaction costs, if any. If certain expenses were not reimbursed, performance would be lower.

Performance data quoted represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance data may be lower or higher than the performance data provided herein.

Month-End as of October 31, 2019(USD, %)

Table Caption
MTD QTD YTD 1-Year 3-Year 5-Year 10-Year ITD
Global Equity Allocation Fund 3.93 3.93 18.68 12.81 10.24 5.88 8.15 8.31
MSCI ACWI + 2.74 2.74 19.38 12.59 11.34 7.08 8.81 6.31
MSCI ACWI 2.74 2.74 19.38 12.59 11.34 7.08 8.81 6.24
  • Global Equity Allocation Fund
  • MSCI ACWI +
  • MSCI ACWI

Inception Date: November 26, 1996

Returns shown for periods greater than one year are on an annualized basis.

Gross of fees, expenses and transaction costs, if any. If these fees, expenses and costs were included, performance would be lower.

Performance data quoted represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance data may be lower or higher than the performance data provided herein.

Year Ending December 31 (USD, %)

Calendar
Global Equity Allocation Fund MSCI ACWI + MSCI ACWI
2018 -13.12 -9.42 -9.42
2017 26.39 23.97 23.97
2016 7.97 7.86 7.86
2015 -5.83 -2.36 -2.36
2014 -0.88 4.16 4.16
2013 20.97 22.80 22.80
2012 14.69 16.13 16.13
2011 -1.95 -7.35 -7.35
2010 9.98 12.67 12.67
2009 24.50 34.63 34.63
  • Global Equity Allocation Fund
  • MSCI ACWI +
  • MSCI ACWI

Inception Date: November 26, 1996

Returns shown for periods greater than one year are on an annualized basis.

Net of all fees and expenses after reimbursement by the Manager, but not transaction costs, if any. If certain expenses were not reimbursed, performance would be lower.

Performance data quoted represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance data may be lower or higher than the performance data provided herein.

Year Ending December 31 (USD, %)

Calendar
Global Equity Allocation Fund MSCI ACWI + MSCI ACWI
2018 -12.62 -9.42 -9.42
2017 27.09 23.97 23.97
2016 8.60 7.86 7.86
2015 -5.27 -2.36 -2.36
2014 -0.33 4.16 4.16
2013 21.61 22.80 22.80
2012 15.27 16.13 16.13
2011 -1.45 -7.35 -7.35
2010 10.54 12.67 12.67
2009 25.11 34.63 34.63
  • Global Equity Allocation Fund
  • MSCI ACWI +
  • MSCI ACWI

Inception Date: November 26, 1996

Returns shown for periods greater than one year are on an annualized basis.

Gross of fees, expenses and transaction costs, if any. If these fees, expenses and costs were included, performance would be lower.

Performance data quoted represents past performance and is not indicative of future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance data may be lower or higher than the performance data provided herein.

Management

Inker_Ben

Ben Inker

Head of Asset Allocation

Mr. Inker is head of GMO’s Asset Allocation team and a member of the GMO Board of Directors. He joined GMO in 1992 following the completion of his B.A. in Economics from Yale University.  In his years at GMO, Mr. Inker has served as an analyst for the Quantitative Equity and Asset Allocation teams, as a portfolio manager of several equity and asset allocation portfolios, as co-head of International Quantitative Equities, and as CIO of Quantitative Developed Equities.  He is a CFA charterholder.

Thorndike_John

John Thorndike

Portfolio Manager

Mr. Thorndike is a member of GMO’s Asset Allocation team. Prior to joining GMO in 2015, he was a managing director and Deputy CIO at The Investment Fund for Foundations. Previously, he was an analyst with TIFF. Mr. Thorndike earned his AB in Physics from Bowdoin College.

Documents

Literature

Fact Sheet
Prospectus
Summary Prospectus
Statement of Additional Information
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Downloads

Performance
Portfolio Composition
Holdings
Holdings - Exploded
Holdings - Enhanced
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Commentary & Attribution

Commentary - Quarterly
Market Review
Attribution - Monthly
Attribution - Quarterly
Attribution - YTD
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Investor Information

Annual Report
Semiannual Report
NAVs and Distributions
Distribution Dates
Summary Distribution (Prior Year) GMO Trust
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Risks

Risks associated with investing in the Fund may include: (1) Market Risk - Equities: The market price of an equity may decline due to factors affecting the issuer or its industry or the economy and equity markets generally. Declines in stock market prices generally are likely to reduce the net asset value of the Fund's shares. (2) Management and Operational Risk: The risk that GMO's investment techniques will fail to produce desired results. (3) Non-U.S. Investment Risk: The market prices of many non-U.S. securities (particularly of companies tied economically to emerging countries) fluctuate more than those of U.S. securities. Many non-U.S. markets (particularly emerging markets) are less stable, smaller, less liquid, and less regulated than U.S. markets, and the cost of trading in those markets often is higher than it is in U.S. markets. For a more complete discussion of these risks and others, please consult the Fund's prospectus.

Disclosures

An investor should consider the fund’s investment objectives, risks, charges and expenses before investing. This and other important information can be found in the fund’s prospectus. Read the prospectus carefully before investing. Please see prospectus above.

The GMO Trust funds are distributed in the United States by Funds Distributor LLC. GMO and Funds Distributor LLC are not affiliated.

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