| ANNUALIZED SINCE INCEPTION | QUARTERLY | YTD |
|---|---|---|
| 11.2% | 6.5% | 41.1% |
| 2025 |
|---|
| 41.1% |
Thornburg Global Opportunities Fund delivered strong performance in Q4 2025 with I shares returning 6.49% versus 3.29% for the MSCI All Country World Index, and 41.08% for the full year versus 22.34% for the benchmark. The fund maintains a concentrated approach with 25 holdings comprising 79% of assets, focusing on businesses with above-average revenue growth trading at attractive valuations. Key contributors included technology firms like Samsung Electronics and Taiwan Semiconductor, financial intermediaries including Citigroup and Bank of Ireland, and select energy producers. The portfolio emphasizes firms tied to the digital economy, critical resource producers, and financial intermediaries positioned to benefit from market-determined interest rates. While acknowledging risks from geopolitical tensions, evolving U.S. trade policies, and inflation uncertainty, the manager maintains conviction in the long-term investment approach. Portfolio adjustments focused on diversification and risk management, with reductions in consumer discretionary holdings funding increases in healthcare, technology, and industrials. The strategy continues emphasizing flexibility, focus, and value principles that have driven long-term outperformance since inception.
Thornburg Global Opportunities Fund seeks capital appreciation through a focused portfolio of global equity investments using core principles of flexibility, focus, and value, targeting firms with above-average revenue growth that are value-priced relative to the overall market.
The manager expects continued volatility in financial asset prices driven by evolving news on economic performance, interest rate policies, and political decisions. While acknowledging uncertainty around trade policies and their impact on global businesses, the manager maintains focus on companies' abilities to manage cost inflation and maintain margins. The investment approach remains anchored in core principles of flexibility, focus, and value, emphasizing the importance of maintaining a long-term investment perspective.
| Date | Letter | Tickers | Keywords | Pitches | Quick Takes |
|---|---|---|---|---|---|
| Jan 11 2026 | 2025 Q4 | 0027.HK, 005930.KS, 0700.HK, 300750.SZ, BABA, BIRG.L, BNP.PA, C, CACI, COF, FCX, GOOGL, LLY, META, NN.AS, ORA.PA, RELIANCE.NS, SAP.DE, SCHW, SHEL, T, TSCO.L, TSM, TTE | Digital Economy, financials, global, growth, semiconductors, technology, Trade Policy, value | - | The fund holds significant positions in semiconductor companies including Samsung Electronics, Taiwan Semiconductor Manufacturing, and Contemporary Amperex Technology. These technology firms were leading contributors to… |
| Sep 30 2025 | 2025 Q3 | - | earnings, globalization, growth, moats, Reinvestment | - | The fund focuses on long-term global growth opportunities driven by business quality, competitive advantages, and reinvestment runways. The commentary stresses selective exposure to secular growth… |
| QUARTER | THEMES | TAGS |
|---|---|---|
| 2025 Q4 |
E-commerceSeveral investments in e-commerce leaders across Asia and Latin America, including MercadoLibre, Sea Limited and Alibaba, faced a more competitive operating environment during the period. As long-term investors, SGA observes that competitive intensity in these markets tends to ebb and flow over shorter time horizons, with market leaders typically emerging from such periods with strengthened strategic positions given inherent network effects. |
Marketplaces Competition Network Effects Asia Latin America |
EnergyEnergy plays a critical role in AI infrastructure economics, with data centers becoming major electricity consumers. Rising power costs compress margins while grid constraints and regulatory scrutiny influence deployment timelines. The manager emphasizes that unlike software-driven growth, AI compute cannot be scaled independently of physical energy reality. |
Data Centers Grid Power Infrastructure Utilities | |
FinancialsEuropean banks have been rehabilitated after years in purgatory, with returns of 77% in 2025. Return on equity has normalized above 12% following exit from ultra-low rates, while capital positions have been rebuilt. However, supportive factors are well-appreciated by markets, reflected in significant valuation re-rating. |
Banks Return On Equity Interest Rates Capital Valuations | |
SemiconductorsRGA initiated a position in Lattice Semiconductor, viewing it as an under-appreciated AI winner with immediate gains and longer-term optionality. Lattice's focus on efficiency and advantages in low-power, small footprint FPGAs position it favorably for AI servers, particularly as the only Post-Quantum Cryptography secure chips on the market. |
FPGAs Security Efficiency AI Infrastructure Programmable | |
Trade PolicyRecent tariff policies continued to negatively impact U.S. consumers and companies throughout the year. However, international companies have been finding new trade arrangements and growth opportunities, benefiting from shifts in global trade patterns as the new U.S. administration alters terms of international cooperation. |
Tariffs International Growth Cooperation Impact | |
| 2025 Q3 |
Growth |
| Date | Pitch Type | Author | Ticker | Company | Industry | Sub Industry | Bull / Bear | Exchange | Keywords | Action |
|---|---|---|---|---|---|---|---|---|---|---|
| No Elevator Pitches found | ||||||||||
| TICKER | COMMENTARY |
|---|---|
| 0027.HK | Operates casinos, hotels, & other entertainment facilities in Macau |
| 005930.KS | Top gainers included Samsung (+38% in U.S. dollar terms) |
| 0700.HK | Shinya also visited Shenzhen, where Star Magnolia Capital organized an educational visit for our families to Tencent's headquarters, alongside meetings with several promising early-stage companies. |
| 300750.SZ | CATL alone commands 38% market share in global lithium-ion battery production |
| BABA | Alibaba was a detractor during the quarter after the company reported mixed fiscal Q2 results. While cloud revenue growth accelerated and margins remained stable, the core commerce business struggled with slowing growth and significant profit pressure, particularly in the quick commerce segment where heavy investment and intense competition led to a sharp decline in profitability. |
| BIRG.L | Bank of Ireland and Horiba rounded out the Fund's list of largest performance contributions for the quarter. As has been the case for much of 2025, the Fund's Western European holdings, such as Bank of Ireland, Buzzi Spa and BMW, each contributed to fourth quarter performance in a positive and significant way. In recent years, our two European bank holdings, Bank of Ireland and Deutsche Bank, have benefited from dramatically improved operating performance, which has led to a growing appreciation of their abilities to generate attractive returns on capital. The Fund materially reduced the weight of its holdings in Deutsche Bank and Bank of Ireland during the year. |
| BNP.PA | Paris-based bank serving commercial, retail, investment, private and corporate banking services internationally |
| C | Money center bank Citigroup rose amid strong capital markets activity and benign credit conditions. The company continued to repurchase stock and return capital to shareholders, while expenses related to its transformation are expected to decline next year. |
| CACI | Command & control, communications, cyber security services to business & government |
| COF | We added to Capital One Financial Corporation, which was a core new addition in the prior quarter. |
| FCX | Freeport McMoRan was able to recover the share price drawdown seen in September following a major mudflow event at their Grasberg mine, which resulted in a full suspension of production and a material cut to guidance. The share price finished 2025 at its high. |
| GOOGL | In the third quarter, Google, Kairos Power, and the Tennessee Valley Authority announced a major collaboration centered on a novel power purchase agreement. Google followed this announcement with another significant step forward. On October 27, Google and NextEra Energy announced plans to restart the Duane Arnold Energy Center. |
| LLY | Eli Lilly shares were a top performer in 4Q25 after delivering strong Q3 2025 earnings in October. Revenue rose 54% year-over-year to $17.6 billion, and adjusted EPS of $7.02 beat consensus of $6.02. Growth was driven by its GLP-1 franchises, Mounjaro and Zepbound, where sales more than doubled year-over-year, alongside strength in other therapeutic areas. Management raised full-year guidance for both revenue and earnings, reinforcing investor confidence in the company's growth outlook. |
| META | On January 9, Meta Platforms unveiled a new agreement with Vistra—the largest generator of competitive electricity in the United States—as well as with TerraPower and Oklo. The announcement builds on Meta's agreement last year with Constellation Energy and positions the company to become one of the largest corporate purchasers of nuclear-generated electricity in the United States. |
| NN.AS | NN Group, a leading Dutch life and non-life insurance company and the Fund's third largest holding, generated a total return of 85% in USD terms last year. Despite this strong return, the shares continue to trade at a 10% discount to book value, and 8.5x 2026 estimated earnings. Management stands out as highly efficient capital allocators. |
| ORA.PA | Multi-national telecommunications network operator, sold Spain into a 50/50 JV in 2024 |
| RELIANCE.NS | India-based conglomerate: chemicals, refining, #1 mobile telco and #1 retailer in India |
| SAP.DE | Germany-based global software developer for business applications |
| SCHW | We also added to The Charles Schwab Corporation, which is benefiting from positive earnings revisions, expanding margins, and higher capital returns after having repaid nearly all of its high cost funding. |
| SHEL | Global oil & gas producer and distributor |
| T | Telecoms lagged on concerns that a new CEO at VZ (not held) will increase the competitive intensity within the industry. |
| TSCO.L | Tesco, a UK-based multinational grocery and retail company operating a leading supermarket chain. Now one of our top 10 holdings in the portfolio, Tesco continues to benefit from its scale advantages and price leadership, which have allowed it to gain market share despite a competitive environment and a UK consumer backdrop that remains value conscious. At the same time, margin contributions from initiatives in retail media and continued share repurchases support earnings growth without requiring an improvement in consumer spending. |
| TSM | TSMC was a top contributor during the quarter, driven by robust demand for advanced semiconductor manufacturing and improved gross margins as AI continues to grow strong and the non-AI segment showed signs of recovery. Management raised its revenue growth guidance to the mid-30% range, and given continued strength in demand, AI-related growth targets are expected to move above the current mid-40% level. |
| TTE | Global oil & gas producer and distributor and low carbon electricity supplier |
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