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-- makers -- for the first time this year on Thursday as Europe's struggles to deal with its mounting debt crisis -- despite high unemployment and yes the risk of recession.
We've got a portfolio manager who says now's the time to buy Europe and he's calling it.
A once in a lifetime opportunity joining me now is David Markus ever more global advisors CEO.
And chief investment officer and thank you David so much for being here thank you -- Richardson about this -- I don't really know what's changed in Europe there's still having to deal with these very very.
Difficult austerity measures that the same time how do you get growth -- settled conundrum and why do you like Europe now.
I like it now because other people don't like it and the reality is you want to get -- when others are still nervous still not sure they should get back in.
To those markets.
And because of the crisis food companies are taking advantage in such a way they're restructuring.
The transforming the way they operate their businesses they're doing things that they could never do in normal times.
Such creating wonderful opportunities for undervalued situations.
-- across the region.
Across the region and we don't know Greece's problems and -- Spain and it's obviously think major provisions come grow -- You'll not worried about that scenario specially an economy the size of Italy or Spain.
Well at the end of the day we're buying companies were not -- countries.
We -- on a couple of securities and Italy we have something in Spain but by and large -- -- consumers in Europe and -- struggling.
Then buying you know -- they will not be able to buy the products.
You're right but you you also have global businesses that are based in Europe and -- not relying only on domestic consumption -- And that creates great opportunity because their base there but you're getting.
Really you're getting this -- from all over the world and and we own some of those in our portfolio today well with that in mind who do you like particular look what companies what stocks you like.
One of our favorite holdings and -- of our top ten holdings -- is Vivendi.
OK so you have a French conglomerate -- they don't 62% of Activision the video game maker yet.
They on the largest music business in the world universal music you have some of the largest Telecom assets in France.
They have pay TV business so it's truly a media conglomerate.
What's been of value trap for the last decade and poorly managed that's really cheap and so the opportunities of -- on 55 here.
You like that press I do like it we've been adding to a recently.
We think it's worth at least 50% more.
And in the meantime I'm getting a 6% yelled while away.
-- -- -- -- Very good now.
One of the other plays he mentioned is the behemoth that is Siemens.
Out of Germany one in particular deal like about this stock -- Siemens has been taking advantage.
Of the the opportunity to restructure over the last four -- five years out closing plants realigning the business.
Spinning off assets that no longer fit with the core.
That's it today you have a monster company.
That is this is that there -- so aggressive and all the businesses and now they're about to spinoff to shareholders -- which is one of the largest lighting businesses in the world.
The getting out of all consumer products are really going to be.
Ya managers which is therefore think that's right and that we don't -- it today.
I think it's a look it's sort of a little rich I'd love to bite if it was -- 10% from here -- we're ready rebounded in the past.
And we love the see -- he's really of value creator.
And that's K yeah and Europe you you really it's all about who you're betting on cheap stocks are great yeah I need a great manager to lead that company.
And so we look for value creators there's a lot of value destroy -- -- We wanna avoidable -- yes there other areas that you are avoiding when it comes to Europe.
We don't like heavy cyclicals.
You know my rule of thumb is always have the price of oil's off oil stocks are up yeah I would stay away from that kind of stuff we wanna know that it's unique for the company -- we love transforming situations.
As we said in a Siemens is transforming its its streamlining preventing is a complete break up opportunity.
Yet like Fiat.
The car company yes you did absolutely it's led by a wonderful leader Sergey you Marchionne -- -- he's -- arrested he's -- value creator.
And these closing plants -- streamlining he's pushing back on the unions in a way that's not been done in a long time.
Thanks taking a lot of the auto industry has suffered so certainly in Europe -- doesn't -- Well look you have some of the best luxury sports cars owned by fiat yet you have miles -- -- Ferrari.
They bought Chrysler Honda chief Karen US government to shut it down you know they took -- for a very cheap price and it's driving their profits -- -- -- global player.
What happens to be based in Italy.
Very -- -- we've -- run out of time but David Markus thank you so much for the optimistic view of Europe and we really appreciate you being here thank you very much our.
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