Overview

Growth of $10,000

10-year period ended 06/30/2017

  • Class A at NAV

Historical Returns (%)as of Jun 30, 2017

Annualized
1 Mo. 3 Mos. YTD 1 Yr. 3 Yrs. 5 Yrs. 10 Yrs.
Fund at NAV 3.55 5.43 15.15 6.46 6.27 14.66 10.41
Fund w/Max Sales Charge -2.42 -0.66 8.48 0.33 4.20 13.30 9.76
MSCI World Health Care Index1 2.71 6.93 15.96 9.83 7.08 14.89 8.61
Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Performance is for the stated time period only; due to market volatility, the Fund’s current performance may be lower or higher than quoted. Returns are historical and are calculated by determining the percentage change in net asset value (NAV) with all distributions reinvested. Returns for other classes of shares offered by the Fund are different. Performance less than or equal to one year is cumulative. Max Sales Charge: 5.75%.

Fund Factsas of Jun 30, 2017

Class A Inception 07/26/1985
Investment Objective Long-term capital growth
Total Net Assets $1.2B
Minimum Investment $1000
Expense Ratio (Gross)2 1.40%
Expense Ratio (Net)2,3 1.39%
CUSIP 277902813

Top 10 Holdings (%)4,5as of Jun 30, 2017

Allergan PLC
Roche Holding AG
Celgene Corp
Eli Lilly & Co
UnitedHealth Group Inc
Johnson & Johnson
Pfizer Inc
Zoetis Inc
Shire PLC
Biogen Inc
Total 42.60

Portfolio Management

Jason Kritzer, CFA Managed Fund since 2016
Samantha Pandolfi, CFA Managed Fund since 2016

Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding. Fund invests in an affiliated investment company (Portfolio) with the same objective(s) and policies as the Fund. References to investments are to the Portfolio's holdings.

About Risk: 

Fund performance is sensitive to stock market volatility. Because the Fund investments may be concentrated in a particular industry, the Fund share value may fluctuate more than that of a less concentrated fund. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical or other conditions. Smaller companies are generally subject to greater price fluctuations, limited liquidity, higher transaction costs and higher investment risk than larger, established companies. No fund is a complete investment program and you may lose money investing in a fund. The Fund may engage in other investment practices that may involve additional risks and you should review the Fund prospectus for a complete description.


Performance

Historical Returns (%)as of Jun 30, 2017

Annualized
1 Mo. 3 Mos. YTD 1 Yr. 3 Yrs. 5 Yrs. 10 Yrs.
Fund at NAV 3.55 5.43 15.15 6.46 6.27 14.66 10.41
Fund w/Max Sales Charge -2.42 -0.66 8.48 0.33 4.20 13.30 9.76
MSCI World Health Care Index1 2.71 6.93 15.96 9.83 7.08 14.89 8.61
Morningstar Health Category6 5.88 6.94 18.41 17.06 9.07 17.39 11.46
Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Performance is for the stated time period only; due to market volatility, the Fund’s current performance may be lower or higher than quoted. Returns are historical and are calculated by determining the percentage change in net asset value (NAV) with all distributions reinvested. Returns for other classes of shares offered by the Fund are different. Performance less than or equal to one year is cumulative. Max Sales Charge: 5.75%.

Calendar Year Returns (%)

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Fund at NAV 6.49 -7.24 9.89 11.13 4.75 15.49 44.56 27.39 8.39 -14.89
MSCI World Health Care Index1 3.94 -21.50 18.89 2.41 9.46 17.54 36.27 18.10 6.60 -6.81

Fund Facts

Expense Ratio (Gross)2 1.40%
Expense Ratio (Net)2,3 1.39%
Class A Inception 07/26/1985
Distribution Frequency Annually

Risk Measures (3 Year)7as of Jun 30, 2017

Alpha (%) -1.58
Beta 1.16
R-Squared (%) 87.48
Standard Deviation (%) 15.19
Sharpe Ratio 0.40

Morningstar Rating™as of Jun 30, 2017

Time Period Rating Funds in
Health
Category
Overall *** 127
3 Years *** 127
5 Years ** 120
10 Years *** 98
The Morningstar Rating™ for funds, or "star rating", is calculated for managed products (including mutual funds and exchange-traded funds) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star.

The Overall Morningstar Rating for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. Star ratings do not reflect the effect of any applicable sales load.

©2017 Morningstar. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information.

NAV History

Date NAV NAV Change
Jul 26, 2017 $10.67 $0.03
Jul 25, 2017 $10.64 -$0.08
Jul 24, 2017 $10.72 $0.00
Jul 21, 2017 $10.72 $0.01
Jul 20, 2017 $10.71 $0.06
Jul 19, 2017 $10.65 $0.09
Jul 18, 2017 $10.56 $0.00
Jul 17, 2017 $10.56 -$0.03
Jul 14, 2017 $10.59 $0.07
Jul 13, 2017 $10.52 $0.01

Distribution History8

Ex-Date Distribution Reinvest NAV
No records in this table indicates that there has not been a distribution greater than .0001 within the past 3 years.
Fund prospectus

Capital Gain History8

Ex-Date Short-Term Long-Term Reinvest NAV
Dec 13, 2016 $1.16110 $9.03
Dec 15, 2015 $0.15340 $1.01810 $11.82
Dec 16, 2014 $0.56450 $1.45310 $11.95
No records in this table indicates that there has not been a capital gain greater than .0001 within the past 3 years.
Fund prospectus

Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding. Fund invests in an affiliated investment company (Portfolio) with the same objective(s) and policies as the Fund. References to investments are to the Portfolio's holdings.

About Risk: 

Fund performance is sensitive to stock market volatility. Because the Fund investments may be concentrated in a particular industry, the Fund share value may fluctuate more than that of a less concentrated fund. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical or other conditions. Smaller companies are generally subject to greater price fluctuations, limited liquidity, higher transaction costs and higher investment risk than larger, established companies. No fund is a complete investment program and you may lose money investing in a fund. The Fund may engage in other investment practices that may involve additional risks and you should review the Fund prospectus for a complete description.


Portfolio

Asset Mix (%)5,9as of Jun 30, 2017

U.S. Common Stocks 80.33
Foreign Common Stocks 19.29
Cash 0.38
Total 100.00

Portfolio Statisticsas of Jun 30, 2017

Number of Holdings 48

Sector Breakdown (%)5as of Jun 30, 2017

Sector Fund MSCI World Health Care Index1
Biotechnology 26.03 16.73
Health Care Distributors 0.00 2.22
Health Care Equipment 16.72 14.42
Health Care Facilities 1.69 1.32
Health Care Services 0.53 3.44
Health Care Supplies 3.06 2.15
Health Care Technology 0.00 0.69
Life Sciences Tools & Services 2.38 4.02
Managed Health Care 9.83 8.10
Pharmaceuticals 39.37 46.90
Cash 0.38 0.00

Assets by Country (%)5as of Jun 30, 2017

United States 80.33
Switzerland 5.83
Ireland 3.87
Germany 2.32
Belgium 2.06
Japan 1.98
United Kingdom 1.97
Denmark 1.25
Cash & Other Assets 0.38
Total 100.00

Geographic Mix (%)5as of Jun 30, 2017

North America 80.33
Europe 17.31
Asia/Pacific 1.98
Cash & Other Assets 0.38
Total 100.00

Fund Holdings (%)5,10as of May 31, 2017

Holding % of Net Assets
Roche Holding AG 6.24%
Allergan PLC 5.59%
Eli Lilly & Co 4.56%
Celgene Corp 4.52%
UnitedHealth Group Inc 4.37%
Johnson & Johnson 3.95%
Pfizer Inc 3.85%
Shire PLC 3.58%
Zoetis Inc 3.56%
Intuitive Surgical Inc 3.18%
View All

Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding. Fund invests in an affiliated investment company (Portfolio) with the same objective(s) and policies as the Fund. References to investments are to the Portfolio's holdings.

About Risk: 

Fund performance is sensitive to stock market volatility. Because the Fund investments may be concentrated in a particular industry, the Fund share value may fluctuate more than that of a less concentrated fund. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical or other conditions. Smaller companies are generally subject to greater price fluctuations, limited liquidity, higher transaction costs and higher investment risk than larger, established companies. No fund is a complete investment program and you may lose money investing in a fund. The Fund may engage in other investment practices that may involve additional risks and you should review the Fund prospectus for a complete description.


Insights & Analysis

Commentary

A Word On The Markets as of Mar 31, 2017

Global equity markets delivered solid gains in the first quarter of 2017 despite a pullback by U.S. stocks late in the period amid dimming prospects for President Donald Trump's pro-business agenda.

U.S. stocks advanced for much of the period, extending the rally that began with President Trump's election in November. Responding to continued economic growth, the U.S. Federal Reserve (the Fed) raised its benchmark interest rate in March and indicated that further rate hikes would be coming in 2017.Taking the Fed action as a vote of confidence in the U.S. economy, stocks rose following the rate hike. Bank stocks led the advance on expectations that bank earnings would benefit from higher rates. Strong manufacturing and jobs data also boosted equity markets. During February, the U.S. added 235,000 new jobs, topping forecasts, while the unemployment rate remained steady at 4.7%.

But U.S stocks reversed course after President Trump's health care bill was withdrawn from Congress. The health care failure raised concerns about the prospects for the president's future economic initiatives, including tax reduction and infrastructure spending. Equities recouped some of the lost ground in the final days of the three-month period.

Globally, signs of economic gains across a broad spectrum of regions encouraged investors during the period. In Asia, rising demand for semiconductors and other electronics boosted growth in the region's export-oriented economies. In Europe, positive economic data and receding political risks helped push stocks higher. Even countries long-mired in recession, such as Russia and Brazil, showed signs of recovery during the period.

The MSCI World Index11 finished the quarter up 6.38%, driven by strong returns across the majority of sectors. Ten of the 11 index sectors posted positive returns for the quarter, led by information technology and healthcare, while energy was the lone negative-performing sector.

Performance Summary 

For the first quarter of 2017, the Worldwide Health Sciences Fund Class A Shares outperformed the MSCI World Healthcare Index (the Index), returning 9.22% at NAV, vs. 8.44% for the Index.

  • Healthcare is off to a strong start in 2017, with all index sub-industries posting positive returns for the first quarter. The health care sector's positive performance was driven by a number of factors, including strong earnings releases from major health care companies, new drug approvals, positive clinical trial results coming out of the biotechnology industry and a stall in the President's health care agenda in Congress.
  • Health care technology was the best-performing industry, followed by life science tools, and equipment and suppliers. Health care providers and services lagged for the quarter.
  • Both stock selection and industry positioning relative to the Index were positive influences on Fund performance for the first quarter.
  • The Fund's overweight to the United States was additive to performance, as the U.S. outperformed much of the world during the quarter. Additionally, the Fund's underweight to Japan and overweight to Belgium aided relative returns.

Historical Returns (%)as of Mar 31, 2017

Annualized
1 Mo. 3 Mos. YTD 1 Yr. 3 Yrs. 5 Yrs. 10 Yrs.
Fund at NAV 0.61 9.22 9.22 4.75 6.27 14.25 10.55
Fund w/Max Sales Charge -5.15 2.90 2.90 -1.24 4.20 12.90 9.90
MSCI World Health Care Index1 0.32 8.44 8.44 8.45 6.34 13.62 8.17
Past performance is no guarantee of future results. Investment return and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Performance is for the stated time period only; due to market volatility, the Fund’s current performance may be lower or higher than quoted. Returns are historical and are calculated by determining the percentage change in net asset value (NAV) with all distributions reinvested. Returns for other classes of shares offered by the Fund are different. Performance less than or equal to one year is cumulative. Max Sales Charge: 5.75%.

Fund Factsas of Mar 31, 2017

Class A Inception 07/26/1985
Expense Ratio (Gross)2 1.40%
Expense Ratio (Net)2,3 1.39%

Contributors 

Positive contributors for the Fund's performance include:

  • Stock selection was strong for the quarter, most notably in health care equipment and suppliers and pharmaceuticals.
  • The Fund's relative underweight to health care providers and services, as well as positive stock selection within the industry boosted returns for the quarter.
  • The top contributor from a stock selection standpoint for the first quarter was Wright Medical Group., a maker of joint implants and bone graft substitutes. The company reported higher-than-expected revenues and investors are optimistic about the company's robust pipeline.
  • Within biotech, Incyte Corporation, a biopharma company which focuses on oncology and autoimmune diseases, remained a top-contributor to Fund performance. Vertex Pharmaceuticals was a positive contributor as well, as the company published positive results for one of its late-stage Cystic Fibrosis drugs.
  • Additional contributors included health care equipment company Intuitive Surgical Inc. and pharmaceutical companies Eli Lilly and Japanese ophthalmic drug maker Santen Pharmaceuticals.

Detractors 

Negative contributors for the Fund's performance include:

  • Stock selection within biotechnology was a detractor to the Fund's relative performance, although somewhat offset by the Fund's overweight relative to the industry.
  • The Fund's relative performance was also hindered by an underweight to life sciences and tools, as well as negative stock selection for the quarter within the industry.
  • Stock detractors for the quarter included pharma companies Zoetis Inc., which reported somewhat mixed fourth quarter revenue results, and Bristol-Myers Squibb which had announced in early January news that accelerated approval for their lung cancer drug would not be sought. Additionally, biotech company Alexion Pharmaceuticals detracted from Fund performance as investors remain cautious on the name after the recent management changes.

Investment Outlook And Fund Positioning 

The overall health care sector has been stuck in a range since mid-2015 after a strong multi-year rally. We think that within the broader sector, specific industries such as pharmaceuticals and biotech are offering value. In fact, both industries are trading on the lower end of their historical valuation ranges in terms of price-to-earnings (P/E) ratios.

With the first attempt of the repeal of the Affordable Care Act (ACA) failing, we are watching for either a congressional pivot toward tax reform or one last push to address healthcare reform. As the political spotlight slowly shifts away from healthcare, we can get back to fundamentals.

Within the overall sector, we're looking for innovation. We favor companies that deliver strong returns on capital and companies that have a very solid competitive advantage. Among these companies, there are some amazing things going on right now in research and development (R&D). For the past 30 years, oncology companies have been trying to move away from chemotherapy to develop targeted therapies that go right after tumors. Now, companies like Bristol Myers, Roche and Merck are actually trying to harness the human immune system to target tumors. We continue to believe there will always be a market for innovative solutions to the world's health problems.

Top 10 Holdings (%)4,5as of Mar 31, 2017

Allergan PLC 5.93
Eli Lilly & Co 5.87
Roche Holding AG 5.77
Celgene Corp 4.88
UnitedHealth Group Inc 4.06
Pfizer Inc 4.00
Zoetis Inc 3.90
Johnson & Johnson 3.81
Shire PLC 3.60
Bristol-Myers Squibb Co 3.46
Total 45.29

The views expressed in this report are those of portfolio manager(s) and are current only through the date stated at the top of this page. These views are subject to change at any time based upon market or other conditions, and Eaton Vance disclaims any responsibility to update such views. These views may not be relied upon as investment advice and, because investment decisions are based on many factors, may not be relied upon as an indication of trading intent on behalf of any Eaton Vance fund. This commentary may contain statements that are not historical facts, referred to as "forward looking statements". The Fund's actual future results may differ significantly from those stated in any forward-looking statement, depending on factors such as changes in securities or financial markets or general economic conditions, the volume of sales and purchases of Fund shares, the continuation of investment advisory, administrative and service contracts, and other risks discussed from time to time in the Fund's filings with the Securities and Exchange Commission.

Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding. Fund invests in an affiliated investment company (Portfolio) with the same objective(s) and policies as the Fund. References to investments are to the Portfolio's holdings.

About Risk: 

Fund performance is sensitive to stock market volatility. Because the Fund investments may be concentrated in a particular industry, the Fund share value may fluctuate more than that of a less concentrated fund. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical or other conditions. Smaller companies are generally subject to greater price fluctuations, limited liquidity, higher transaction costs and higher investment risk than larger, established companies. No fund is a complete investment program and you may lose money investing in a fund. The Fund may engage in other investment practices that may involve additional risks and you should review the Fund prospectus for a complete description.

Attribution

No attribution information is currently available.

Portfolio profile subject to change due to active management. Percentages may not total 100% due to rounding. Fund invests in an affiliated investment company (Portfolio) with the same objective(s) and policies as the Fund. References to investments are to the Portfolio's holdings.

About Risk: 

Fund performance is sensitive to stock market volatility. Because the Fund investments may be concentrated in a particular industry, the Fund share value may fluctuate more than that of a less concentrated fund. Investments in foreign instruments or currencies can involve greater risk and volatility than U.S. investments because of adverse market, economic, political, regulatory, geopolitical or other conditions. Smaller companies are generally subject to greater price fluctuations, limited liquidity, higher transaction costs and higher investment risk than larger, established companies. No fund is a complete investment program and you may lose money investing in a fund. The Fund may engage in other investment practices that may involve additional risks and you should review the Fund prospectus for a complete description.


Management

Biography
Jason Kritzer, CFA

Jason Kritzer, CFA

Vice President, Eaton Vance Management
Joined Eaton Vance 2012

Jason Kritzer is a vice president of Eaton Vance Management, portfolio manager and an equity analyst on Eaton Vance's growth and value teams. As a portfolio manager, he is responsible for buy and sell decisions, portfolio construction and risk management for the firm's health care portfolios. As an equity analyst, he is responsible for coverage of the pharmaceutical, health care equipment and biotechnology industries. He joined Eaton Vance in 2012.

Jason began his career in the investment management industry in 1999. He was previously affiliated with BlackRock, Inc. as a director and equity analyst covering the health care sector, and Putnam Investments as an equity research analyst covering health care, technology and business services. Prior to the investment management industry, Jason worked in the computer industry for Digital Equipment Corporation.

Jason earned a B.S.B.A. from Boston University, School of Management and an MBA from Columbia University, School of Business. He is a member of the Columbia Business School Ambassador Program. He is a CFA charterholder.

Education
  • B.S.B.A. Boston University
  • M.B.A. Columbia University

Experience
  • Managed Fund since 2016

 
Biography
Samantha Pandolfi, CFA

Samantha Pandolfi, CFA

Vice President, Eaton Vance Management (International) Limited
Joined Eaton Vance 2015

Samantha Pandolfi is a vice president of Eaton Vance Management (International) Limited and portfolio manager and research analyst on Eaton Vance's global equity team. She is primarily responsible for covering the health care sector for global large-cap portfolios. She joined Eaton Vance in 2015.

Samantha began her career in the investment management industry in 2000. Before joining Eaton Vance, she was an executive director and European and global health care portfolio manager at Goldman Sachs Asset Management (GSAM) for 15 years. She has also covered apparel/luxury goods, support services, leisure and cosmetics.

Samantha earned her J.D. from Universita' degli Studi La Sapienze and holds an MBA from INSEAD. She is a CFA charterholder.

Education
  • M.B.A. INSEAD
  • J.D. Universita' degli Studi La Sapienze

Experience
  • Managed Fund since 2016


Literature

Literature

Fact Sheet

Download - Last updated: Jun 30, 2017

Commentary

Download - Last updated: Mar 31, 2017

Annual Report

Download - Last updated: Aug 31, 2016

Full Prospectus

Download - Last updated: Jan 1, 2017

Holdings-1st or 3rd fiscal quarters-www.sec.gov

Download

SAI

Download - Last updated: Jan 1, 2017

Semi-Annual Report

Download - Last updated: Feb 28, 2017

Summary Prospectus

Download - Last updated: Apr 10, 2017

XBRL

Download - Last updated: Jan 11, 2017