First Eagle Investment Management Launches Global Real Assets Fund

NEW YORK, December 1, 2021—First Eagle Investment Management (“First Eagle”) today announced the launch of the First Eagle Global Real Assets Fund (A-Share Class: FEREX; I-Share Class: FERAX; R6-Share Class: FERRX). The Fund seeks long-term growth of capital with a focus on inflation mitigation by investing primarily in a variety of assets believed by First Eagle to represent interests in “real assets” or “real asset” industries—that is, companies that produce, own or offer services related to real assets across a diverse range of industries, including materials, chemicals, industrials, energy, infrastructure, real estate and utilities, as well as related suppliers and similarly connected businesses. These stock holdings are complemented by allocations to such traditional stores of value as gold bullion and inflation-linked bonds.

The Fund is managed by Portfolio Managers Benjamin Bahr, John Masi, George Ross and David Wang. Members of First Eagle’s Global Value team, the portfolio managers apply the team’s research-intensive, fundamental approach to invest in what they believe to be resilient, durable companies. As with other First Eagle funds, selectivity is key to the Real Asset Fund’s bottom-up portfolio construction process. The team seeks quality companies they believe have the potential for persistent earnings power—and thus sustainable “intrinsic value” —by virtue of possessing scarce assets of meaningful and/or known duration, supported by prudent governance and robust capital structures.

“We believe the Fund can serve as an attractive potential hedge against the deleterious impact of inflation and help investors avoid the permanent impairment of capital,” said Kimball Brooker, Co-Head of the Global Value team. “We manage the portfolio in an effort to hold its real value during inflationary periods while also potentially delivering compelling returns in other market environments. The best way to do that, in our view, is to look for companies we think can generate an attractive real return over time and to purchase them only when available at a discount to our estimate of their ’intrinsic value,’ business duration and business quality.”

“Unprecedented liquidity in the global financial system has sparked concerns about the structurally higher inflation going forward, as well as broad interest in investments that may help mitigate its impacts on retail portfolios,” said Robert Bruno, Head of Retail Distribution and President of FEF Distributors, LLC. “Real assets historically have served as a potential hedge against rising inflation levels while also offering investors compelling risk-adjusted returns over time. We are excited to provide such an investment solution by leveraging First Eagle’s history of selectively investing in global businesses that possess well-located, long-duration, scarce physical assets.”

About First Eagle Investment Management
First Eagle Investment Management is an independent, privately owned investment management firm headquartered in New York with approximately $109 billion in assets under management as of September 30, 2021. Dedicated to providing prudent stewardship of client assets, the firm focuses on active, fundamental and benchmark-agnostic investing, with a strong emphasis on downside mitigation. Over a long history dating back to 1864, First Eagle has helped its clients avoid permanent impairment of capital and earn attractive returns through widely varied economic cycles—a tradition that is central to its mission today. The firm’s investment capabilities include equity, fixed income, alternative credit and multi-asset strategies. For more information on First Eagle, please visit www.feim.com.

¹"Intrinsic value" is based on our judgment of what a prudent and rational business buyer would pay in cash for all of the company in normal markets.

The opinions expressed are not necessarily those of the firm. These materials are provided for informational purpose only. These opinions are not intended to be a forecast of future events, a guarantee of future results, or investment advice. Any statistic contained herein have been obtained from sources believed to be reliable, but the accuracy of this information cannot be guaranteed. The views expressed herein may change at any time subsequent to the date of issue hereof. The information provided is not to be construed as a recommendation or an offer to buy or sell or the solicitation of an offer to buy or sell any fund or security.

The information set forth above is intended as a general illustration of some of the criteria the strategy team considers in selecting securities. Not all investments will meet such criteria.

Risk Disclosures: The First Eagle Global Real Assets Fund ("The Fund") is new and may not be successful under all future market conditions. The Fund may not attract sufficient assets to achieve investment, trading or other efficiencies.

The value and liquidity of portfolio holdings may fluctuate in response to events specific to the companies or markets, as well as economic, political or social events in the United States or abroad. During periods of market volatility, the value of individual securities and other investments at times may decline significantly and rapidly.

The Fund will invest in companies operating in various industries related to real assets. To the extent there is a downturn in one or more of these industries, there would be a larger impact on the Fund than if the Fund’s portfolio were more broadly diversified. Factors that may affect these industries include, but are not limited to, government regulation or deregulation, energy conservation and supply/demand, raw material prices, commodities regulation, cost of transport, cost of labor, interest rates, and broad economic developments such as growth or contraction in different markets, currency valuation changes and central bank movements.

The Fund may invest in securities of companies that focus on real estate related activities. Real estate and its related businesses are highly dependent on market conditions, including interest rates. REITs are subject special risks including the quality and skill of REIT management and the internal expenses of the REIT. Many types of businesses are significant owners and operators of real estate and can be directly or indirectly exposed to similar risks in addition to their own more sector-specific risks. Real estate income and values may be negatively affected by general and local economic developments such as extended vacancies of properties, as well as demographic trends, such as population movement or changing tastes and values. Real estate income and values also may be negatively affected by condemnations, tax law changes, zoning law changes, regulatory limits on rent, environmental regulations and the availability of mortgage financing and changes in interest rates.

The Fund may invest in energy companies, which may be negatively affected by natural disasters, the high investment costs of exploration and other long-term projects, maintenance costs (and risks of obsolescence) associated with significant fixed assets, commodity prices, government regulations, and conservation efforts, among other factors.

There are risks associated with investing in foreign investments (including depositary receipts). Foreign investments, which can be denominated in foreign currencies, are susceptible to less politically, economically and socially stable environments, fluctuations in the value of foreign currency and exchange rates, and adverse changes to government regulations.

Investment in gold and gold related investments present certain risks, and returns on gold related investments have traditionally been more volatile than investments in broader equity or debt markets.

Although the Fund is intended to provide a measure of protection against inflation, it is possible it will not do so to the extent intended. The Fund’s investments may be adversely affected to a greater extent than other investments during periods of deflation.

A principal risk of investing in value stocks is that the price of the security may not approach its anticipated value or may decline in value. “Value” investments, as a category, or entire industries or sectors associated with such investments, may lose favor with investors as compared to those that are more “growth” oriented.

All investments involve the risk of loss of principal.

Investors should consider investment objectives, risks, charges and expenses carefully before investing. The prospectus and summary prospectus contain this and other information about the Funds and may be obtained by visiting our website at www.feim.com or calling us at 800.334.2143. Please read our prospectus carefully before investing. Investments are not FDIC insured or bank guaranteed, and may lose value.

The purpose of FEF Distributors, LLC (“FEFD”) is to distribute First Eagle products.

FEFD does not provide services to any investor, but rather provides services to its First Eagle affiliates. As such, when FEFD presents a fund, strategy or other product to a prospective investor, FEFD and its representatives do not determine whether an investment in the fund, strategy or other product is in the best interests of, or is otherwise beneficial or suitable for, the investor. No statement by FEFD should be construed as a recommendation. Investors should exercise their own judgment and/or consult with a financial professional to determine whether it is advisable for the investor to invest in any First Eagle fund, strategy, or product.

The First Eagle Funds are offered by FEF Distributors, LLC, a subsidiary of First Eagle Investment Management, LLC. First Eagle Investment Management, LLC provides advisory services.

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