Value stocks are surging in Europe, with the Morningstar Developed Europe Value TME Index up 18.7% this year, outperforming the Growth Index at 5.5%. European banks like HSBC, Santander, and BBVA saw significant share price increases. Insurers like Allianz and AXA also recorded gains. Top-performing funds were actively managed with strong returns.

Europe large-cap value equity funds focus on large-cap European companies with lower valuations or slower growth. These funds returned 18.72% in the last year, 13.64% annually over three years, and 11.98% over five years. This outperformed the Morningstar Europe Index in all periods, which returned less.

Screening for top-performing Europe large-cap value equity funds identified three investments meeting criteria for strong returns and fund size. Some funds may have higher fees in individual investor versions. Medalist Ratings may vary among share classes.

The Dimensional European Value fund outperformed category averages, climbing 26.87% in the last year, 17.16% over three years, and 16.92% over five years. The JPMorgan Funds – Europe Strategic Value Fund and M&G (Lux) European Strategic Value Fund also showed strong performance.

The M&G European Strategic Value Fund has gained 26.85% in the last year, with solid foundations and a skilled fund manager leading to a High Process rating. Key-person risk is high, but the fund manager’s disciplined and risk-conscious approach has built an impressive track record.

Read more at Morningstar: 3 Top-Performing Europe Large-Cap Value Equity Funds