European companies that export their goods are sure bets for investing, two fund managers told CNBC Thursday.
“We are very diversified,” said Phillipe Brugere-Trelat, who handles the Mutual European Fund of Franklin Templeton Investments. “We don’t bet the ranch on one particular name. We are value investors, so we have a margin of safety incorporated in our picks.”
Brugere-Trelat said his fund invests in the electronics, telephone and automobile sectors, among others; some of those companies include Seimens , Schneider of France and Volkswagen .
“We’re 50 percent invested in Europe. We look at companies from the bottom up with operational leverage, financial leverage, a sound business model and a good path to future success,” said Wendy Trevasani of the Thornburg Value Fund.
Her picks are Carnival, Teva , LVMH Moet Hennessy Louis, Novo Nordisk and Fresenius .
John Calamos of Calamos Investments told CNBC that he’s avoiding investing in banks now, but picking up health care stocks because the prices have tumbled so much, to the relatively low level of utilities prices.
He has 13 percent invested in health care, 23 percent in IT, nearly 12 percent in energy and 10 percent each in materials and consumer staples.
The US makes up nearly 40 percent of Calamos’ investments, followed by the UK and Switzerland at 13 percent each, with Canada and India at about 6 percent and 3 percent respectively.