You could lose money by investing in the Fund, and the Fund could underperform other investments. You should expect the Fund's share price and total return to fluctuate within a wide range. The Funds's performance could be hurt by:
- Manager risk. Dodge & Cox’s opinion about the intrinsic worth
of a company or security may be incorrect or the market may
continue to undervalue the company or security. Dodge & Cox
may not make timely purchases or sales of securities for the Fund.
- Equity risk. Equity securities generally have greater price
volatility than debt securities. Equity securities may decline in
value because of changes in the actual or perceived financial
condition of their issuers or other events affecting their issuers.
- Market risk. Prices may increase or decrease, sometimes suddenly
and unpredictably, due to general market conditions.
- Liquidity risk. The Fund may not be able to purchase or sell a
security in a timely manner or at desired prices or achieve its
desired weighting in a security.
- Non-U.S. currency risk. Foreign currencies may decline relative
to the U.S. dollar, which reduces the unhedged value of
securities denominated in or otherwise exposed to those
currencies. Dodge & Cox may not hedge or may not be
successful in hedging the Fund’s currency exposure.
- Non-U.S. investment risk. Securities of non-U.S. issuers
(including ADRs) may be less liquid, more volatile, and harder
to value than U.S. securities. Non-U.S. issuers may be subject to
political, economic, or market instability, or unfavorable government action in their local jurisdictions. There may be less
information publicly available about non-U.S. issuers and their
securities, and those issuers may be subject to lower levels of
government regulation and oversight. Non-U.S. stock markets
may decline due to conditions specific to an individual country,
including unfavorable economic conditions relative to the
United States. There may be increased risk of delayed
transaction settlement or security certificate loss. These risks
may be higher when investing in emerging market issuers.
Certain of these risks may also apply to securities of U.S. issuers
with significant non-U.S. operations.
- Emerging market risk. Emerging market securities may present
issuer, market, currency, liquidity, volatility, valuation, legal,
political, and other risks different from, and potentially greater
than, the risks of investing in securities of issuers in more
- Derivatives risk. Investing with derivatives, such as forward
currency contracts and equity index futures, involves risks
additional to those associated with investing directly in
securities. The value of a derivative may not correlate to the
value of the underlying instrument to the extent expected.
Derivative transactions may be volatile, and can create leverage,
which could cause the Fund to lose more than the amount of
assets initially contributed to the transaction, if any. The Fund
may not be able to close a derivatives position at an
advantageous time or price. For over-the-counter derivatives
transactions, the counterparty may be unable or unwilling to
make required payments and deliveries, especially during times
of financial market distress.
An investment in the Fund is not a deposit of a bank and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency.
There are further risk factors described elsewhere in the prospectus and in the SAI.
The following bar chart is intended to help you understand the risks of investing in the Fund. The bar chart shows changes in the Fund’s returns from year to year.
The Fund’s past performance (before and after taxes) does not necessarily indicate how the Fund will perform in the future. Average annual total returns can be viewed on the Performance & Prices page of this website.
|Highest/Lowest quarterly results during the time period were:
Highest: 33.37% (quarter ended June 30, 2009)
Lowest: -26.06% (quarter ended December 31, 2008)