Thornburg International Equity Fund

Investor Summary

Lei Wang, CFA serves as Portfolio Manager and Managing Director with over 29 years of industry experience, managing approximately $4.9 billion in International Equity strategies since joining Thornburg in 2004. He holds degrees from East China Normal University and an MBA from NYU, with previous experience at Deutsche Bank Investment Management and China's central bank. Matt Burdett serves as Head of Equities and Portfolio Manager, rejoining Thornburg in 2015 after PIMCO experience, with unique expertise combining investment analysis, healthcare banking, and scientific background as a medicinal chemist, holding an MBA from USC and chemistry degree from UC Berkeley.

Fund Strategy

The fund employs a fundamental, bottom-up investment approach to provide long-term capital appreciation by investing in equity and debt securities across international markets. The strategy focuses on uncovering promising businesses with sound fundamentals in primarily the developed international markets of Europe and the Asia Pacific region. The portfolio is diversified by sector, country and market capitalization, constructed with three types of stocks - basic value, consistent earners and emerging franchises - to produce attractive risk-adjusted returns across market cycles while mitigating volatility through fundamentally driven security selection.

ANNUALIZED SINCE INCEPTION	QUARTERLY	YTD
8.56%	3.08%	3.08%

Executive Summary

Thornburg International Equity Fund delivered a 3.08% return in Q1 2026, outperforming its MSCI ACWI ex-US benchmark which declined 0.71%. The fund's 28-year track record demonstrates the value of focusing on resilient businesses with strong fundamentals during volatile periods. The conflict with Iran has created significant supply shocks in energy and commodity markets, driving inflation fears and forcing central banks to reverse course from expected policy easing. This geopolitical crisis is acting as a major growth tax, with higher energy costs and rising interest rates creating economic headwinds. The portfolio's concentrated approach of nearly 50 world-class businesses proved effective, with energy and materials holdings like TotalEnergies and Glencore contributing positively while Chinese technology names detracted. The fund maintains overweight positions in industrials and utilities while remaining underweight information technology. With global growth projected to slow to 3.0% in 2026, the managers emphasize their bottom-up approach to identifying attractively valued companies with proven ability to navigate economic cycles and strengthen competitive positions during challenging periods.

Core Thesis

The fund seeks to identify premier foreign producers of goods and services with resilient foundations that can weather economic storms and improve competitive positions, focusing on attractively valued companies trading at discounts to intrinsic value through bottom-up fundamental analysis.

Forward Outlook

Global economic growth is projected to slow with the European Union expected to grow a modest 1.4%, Japan's growth projected to decelerate to 0.8% amid rising energy costs and higher rates, and China's growth losing steam despite stimulus. The fund maintains focus on premier foreign producers with resilient foundations.

Date	Letter	Tickers	Keywords	Pitches	Quick Takes
Apr 18 2026	2026 Q1	005930 KS, 0700.HK, 3690 HK, 6098.T, AZN, B3SA3.SA, BNP.PA, BZ, CP, ELE.MC, GLEN.L, INGA.AS, MUFG, NN.AS, ORA.PA, SONY, TTE	energy, Geopolitical, inflation, international, Resilience, value	-	Thornburg International outperformed in Q1 2026 despite geopolitical turmoil from the Iran conflict driving energy supply shocks and inflation fears. The fund's focus on resilient, attractively valued businesses with strong fundamentals enabled effective navigation of volatile conditions. Energy and materials holdings contributed while Chinese technology names detracted in a challenging global growth environment.
Jan 11 2026	2025 Q4	005930.KS, 4901.T, 6501.T, 6758.T, 8306.T, AZN, BABA, BNP.PA, BZ, CP, DPW.DE, LIN, NN.AS, ROG.SW, SU.PA, TTE	China, Europe, fundamentals, international, Japan, value	-	Thornburg International Equity Fund outperformed for the full year despite Q4 underperformance, benefiting from strong stock selection in technology and pharmaceuticals. The managers maintain conviction in their focused portfolio of quality international businesses trading at attractive valuations, welcoming macro-driven volatility for positioning opportunities while navigating trade tensions and divergent monetary policies.
Oct 10 2025	2025 Q3	0027.HK, 005930.KS, 3690.HK, 6758.T, 8306.T, ALC, AZN, BABA, BNP.PA, CP, CSU.TO, FCX, NVO, OR.PA, SU.PA, TTE	Bottom-up, Diversified, fundamentals, international, value	-	Thornburg International Equity Fund underperformed in Q3 but outperformed over 12 months through disciplined value investing in quality international businesses. Portfolio benefits from AI-driven semiconductor strength and diversified exposure across industrials and financials. Despite global growth headwinds and trade tensions, the fund maintains attractive valuations and selective positioning for long-term outperformance.
Jun 30 2025	2025 Q2	0027.HK, 005930.KS, 3690.HK, 6758.T, 8306.T, ALC, AZN, BABA, BNP.PA, CP, CSU.TO, FCX, NVO, OR.PA, SU.PA, TTE	China, Europe, international, Japan, rates, semiconductors, Trade Policy, value	-	Thornburg International delivered strong annual outperformance despite Q3 underperformance, driven by disciplined value investing in quality international businesses. Key winners included Samsung and Alibaba amid semiconductor strength and AI optimism. Increased cash provides flexibility as trade tensions and political instability create volatility. Long-term track record of superior risk-adjusted returns through bottom-up stock selection continues.
Mar 31 2025	2025 Q1	0027.HK, 6098.T, 6146.T, 6501.T, 8306.T, BNP.PA, CP, EOAN.DE, LIN, NN.AS, NVDA, ORA.PA, RHM.DE, ROG.SW, SAF.PA, SONY, TSM, TTE	active, international, Opportunities, positioning, tariffs, volatility	-	Thornburg International delivered 9.92% in Q1 2025, outperforming benchmarks through active positioning across divergent global economies. Strong European stock selection and strategic tariff risk management drove results. The team views current volatility as opportunity-creating, maintaining concentrated exposure to quality industrials, financials, and technology while preparing for continued policy uncertainty in 2025.

Date

Letter

Tickers

Keywords

Pitches

Quick Takes

Apr 18 2026

2026 Q1

005930 KS, 0700.HK, 3690 HK, 6098.T, AZN, B3SA3.SA, BNP.PA, BZ, CP, ELE.MC, GLEN.L, INGA.AS, MUFG, NN.AS, ORA.PA, SONY, TTE

energy, Geopolitical, inflation, international, Resilience, value

Thornburg International outperformed in Q1 2026 despite geopolitical turmoil from the Iran conflict driving energy supply shocks and inflation fears. The fund's focus on resilient, attractively valued businesses with strong fundamentals enabled effective navigation of volatile conditions. Energy and materials holdings contributed while Chinese technology names detracted in a challenging global growth environment.

Jan 11 2026

2025 Q4

005930.KS, 4901.T, 6501.T, 6758.T, 8306.T, AZN, BABA, BNP.PA, BZ, CP, DPW.DE, LIN, NN.AS, ROG.SW, SU.PA, TTE

China, Europe, fundamentals, international, Japan, value

Thornburg International Equity Fund outperformed for the full year despite Q4 underperformance, benefiting from strong stock selection in technology and pharmaceuticals. The managers maintain conviction in their focused portfolio of quality international businesses trading at attractive valuations, welcoming macro-driven volatility for positioning opportunities while navigating trade tensions and divergent monetary policies.

Oct 10 2025

2025 Q3

0027.HK, 005930.KS, 3690.HK, 6758.T, 8306.T, ALC, AZN, BABA, BNP.PA, CP, CSU.TO, FCX, NVO, OR.PA, SU.PA, TTE

Bottom-up, Diversified, fundamentals, international, value

Thornburg International Equity Fund underperformed in Q3 but outperformed over 12 months through disciplined value investing in quality international businesses. Portfolio benefits from AI-driven semiconductor strength and diversified exposure across industrials and financials. Despite global growth headwinds and trade tensions, the fund maintains attractive valuations and selective positioning for long-term outperformance.

Jun 30 2025

2025 Q2

0027.HK, 005930.KS, 3690.HK, 6758.T, 8306.T, ALC, AZN, BABA, BNP.PA, CP, CSU.TO, FCX, NVO, OR.PA, SU.PA, TTE

China, Europe, international, Japan, rates, semiconductors, Trade Policy, value

Thornburg International delivered strong annual outperformance despite Q3 underperformance, driven by disciplined value investing in quality international businesses. Key winners included Samsung and Alibaba amid semiconductor strength and AI optimism. Increased cash provides flexibility as trade tensions and political instability create volatility. Long-term track record of superior risk-adjusted returns through bottom-up stock selection continues.

Mar 31 2025

2025 Q1

0027.HK, 6098.T, 6146.T, 6501.T, 8306.T, BNP.PA, CP, EOAN.DE, LIN, NN.AS, NVDA, ORA.PA, RHM.DE, ROG.SW, SAF.PA, SONY, TSM, TTE

active, international, Opportunities, positioning, tariffs, volatility

Thornburg International delivered 9.92% in Q1 2025, outperforming benchmarks through active positioning across divergent global economies. Strong European stock selection and strategic tariff risk management drove results. The team views current volatility as opportunity-creating, maintaining concentrated exposure to quality industrials, financials, and technology while preparing for continued policy uncertainty in 2025.

QUARTER	THEMES	TAGS
2026 Q1	Geopolitical The conflict with Iran has caused virtual closure of the Strait of Hormuz, creating supply shocks in energy, fertilizer, sulfur and helium markets. This geopolitical crisis is acting as a major growth tax and inflation spike, forcing markets to price in higher-for-longer interest rates.	Iran Strait of Hormuz Supply Shocks Geopolitical Risk Energy
	Inflation The price impacts from the conflict have caused inflation fears to rise and prompted central banks to reverse course from expected policy easing. Higher energy costs and rising cost of capital due to policy rate hikes create headwinds to economic growth.	Central Banks Policy Rates Energy Costs Growth Headwinds
	Resilience The fund focuses capital on businesses with resilient foundations that can weather economic storms and improve competitive positions. Black swan events reinforce the importance of investing in companies with proven records of successfully navigating economic shocks and volatile market cycles.	Business Quality Competitive Moats Economic Cycles Fundamentals
2025 Q4	Trade Policy Trade tensions remained a significant theme with continuing negotiations between the U.S. and major trade partners including China. Contentious trade talks and tit-for-tat tariff and procurement walls between China and the European Union created ongoing market dynamics.	Tariffs China Negotiations
	AI Technology-related industries showed strength, particularly in Northeast Asia and the U.S., where chip stocks rallied on AI optimism. This contributed to positive performance in technology sectors during the quarter.	Semiconductors Technology Chips
	Rates The U.S. Federal Reserve cut its target rate 25 basis points in December while the Bank of Japan lifted its rate a quarter point. The ECB stood pat, creating divergent monetary policy paths that impacted currency markets and bond yields.	Federal Reserve Central Banks Monetary Policy
2025 Q3	Semiconductors Technology-related industries showed strength, particularly in Northeast Asia and the U.S., where chip stocks rallied on AI optimism. Samsung Electronics was a leading contributor to portfolio performance for the quarter.	AI Chip Stocks Northeast Asia Technology
	Trade Policy Trade tensions remain a significant theme, with continuing negotiations between the U.S. and its major trade partners, including China, which is also in contentious trade talks and tit-for-tat tariff and procurement walls with the European Union.	Trade Tensions Tariffs U.S.-China European Union
	Rates The head of the U.S. Federal Reserve telegraphed in August the long-awaited Fed cut in its target rate was likely in September, when it indeed materialized. Meanwhile, the Bank of Japan's continuing, if incremental policy rate normalization came amid spikes in Japanese government 30-40 year bond yields to record highs.	Federal Reserve Rate Cuts Bank of Japan Bond Yields
2025 Q2	Trade Policy Trade tensions remain a significant theme with continuing negotiations between the U.S. and major trade partners including China. Contentious trade talks and tit-for-tat tariff and procurement walls persist between China and the European Union. Global economic growth is projected to slow to 2.9% in 2025 from 3.3% in 2024, driven by U.S. trade tariffs and policy uncertainty.	Tariffs China Trade Wars Policy Uncertainty Global Growth
	Semiconductors Technology-related industries showed strength, particularly in Northeast Asia and the U.S., where chip stocks rallied on AI optimism. Samsung Electronics, a leading semiconductor producer, was a top contributor to portfolio performance with 35.3% quarterly returns and 67.5% year-to-date returns.	AI Chip Stocks Samsung Technology Northeast Asia
	Rates The Federal Reserve telegraphed and delivered the long-awaited rate cut in September. Meanwhile, the Bank of Japan's continuing policy rate normalization came amid spikes in Japanese government 30-40 year bond yields to record highs. Re-priced global rate differentials played out in currency markets with the U.S. dollar at its lowest levels against major peers since 2022.	Fed Cuts Bank of Japan Bond Yields Currency Monetary Policy
	E-commerce Chinese e-commerce and tech giant Alibaba was a leading contributor to portfolio performance for the quarter with 57.6% quarterly returns and 116.1% year-to-date returns. The company represents China's premier e-commerce, internet infrastructure and online financial services conglomerate with significant growth potential.	Alibaba China Tech Internet Infrastructure Online Services Digital Commerce
2025 Q1	Volatility The manager views volatility as a powerful ally for long-term investors, creating windows of opportunity during market turbulence. They have been actively capitalizing on select opportunities during recent market swings, emphasizing that volatility is not inherently negative but rather creates periods when patience and discipline can lead to positive outcomes.	Market swings Opportunities Long-term investing Turbulence Windows
	Trade Policy The Trump administration has telegraphed its intention to employ tariffs to rebalance global trade. The portfolio has strategically managed tariff-related risks by avoiding excessive exposure to companies whose business models depend heavily on shipping products into the U.S. Tariffs remain less of a focus among other regions outside the U.S.	Tariffs Trade war Risk management Global trade Rebalancing

QUARTER

THEMES

Geopolitical

The conflict with Iran has caused virtual closure of the Strait of Hormuz, creating supply shocks in energy, fertilizer, sulfur and helium markets. This geopolitical crisis is acting as a major growth tax and inflation spike, forcing markets to price in higher-for-longer interest rates.

Iran Strait of Hormuz Supply Shocks Geopolitical Risk Energy

Inflation

The price impacts from the conflict have caused inflation fears to rise and prompted central banks to reverse course from expected policy easing. Higher energy costs and rising cost of capital due to policy rate hikes create headwinds to economic growth.

Central Banks Policy Rates Energy Costs Growth Headwinds

Resilience

The fund focuses capital on businesses with resilient foundations that can weather economic storms and improve competitive positions. Black swan events reinforce the importance of investing in companies with proven records of successfully navigating economic shocks and volatile market cycles.

Business Quality Competitive Moats Economic Cycles Fundamentals

2025 Q4

Trade Policy

Trade tensions remained a significant theme with continuing negotiations between the U.S. and major trade partners including China. Contentious trade talks and tit-for-tat tariff and procurement walls between China and the European Union created ongoing market dynamics.

Tariffs China Negotiations

AI

Technology-related industries showed strength, particularly in Northeast Asia and the U.S., where chip stocks rallied on AI optimism. This contributed to positive performance in technology sectors during the quarter.

Semiconductors Technology Chips

Rates

The U.S. Federal Reserve cut its target rate 25 basis points in December while the Bank of Japan lifted its rate a quarter point. The ECB stood pat, creating divergent monetary policy paths that impacted currency markets and bond yields.

Federal Reserve Central Banks Monetary Policy

2025 Q3

Semiconductors

Technology-related industries showed strength, particularly in Northeast Asia and the U.S., where chip stocks rallied on AI optimism. Samsung Electronics was a leading contributor to portfolio performance for the quarter.

AI Chip Stocks Northeast Asia Technology

Trade Policy

Trade tensions remain a significant theme, with continuing negotiations between the U.S. and its major trade partners, including China, which is also in contentious trade talks and tit-for-tat tariff and procurement walls with the European Union.

Trade Tensions Tariffs U.S.-China European Union

Rates

The head of the U.S. Federal Reserve telegraphed in August the long-awaited Fed cut in its target rate was likely in September, when it indeed materialized. Meanwhile, the Bank of Japan's continuing, if incremental policy rate normalization came amid spikes in Japanese government 30-40 year bond yields to record highs.

Federal Reserve Rate Cuts Bank of Japan Bond Yields

2025 Q2

Trade Policy

Trade tensions remain a significant theme with continuing negotiations between the U.S. and major trade partners including China. Contentious trade talks and tit-for-tat tariff and procurement walls persist between China and the European Union. Global economic growth is projected to slow to 2.9% in 2025 from 3.3% in 2024, driven by U.S. trade tariffs and policy uncertainty.

Tariffs China Trade Wars Policy Uncertainty Global Growth

Semiconductors

Technology-related industries showed strength, particularly in Northeast Asia and the U.S., where chip stocks rallied on AI optimism. Samsung Electronics, a leading semiconductor producer, was a top contributor to portfolio performance with 35.3% quarterly returns and 67.5% year-to-date returns.

AI Chip Stocks Samsung Technology Northeast Asia

Rates

The Federal Reserve telegraphed and delivered the long-awaited rate cut in September. Meanwhile, the Bank of Japan's continuing policy rate normalization came amid spikes in Japanese government 30-40 year bond yields to record highs. Re-priced global rate differentials played out in currency markets with the U.S. dollar at its lowest levels against major peers since 2022.

Fed Cuts Bank of Japan Bond Yields Currency Monetary Policy

E-commerce

Chinese e-commerce and tech giant Alibaba was a leading contributor to portfolio performance for the quarter with 57.6% quarterly returns and 116.1% year-to-date returns. The company represents China's premier e-commerce, internet infrastructure and online financial services conglomerate with significant growth potential.

Alibaba China Tech Internet Infrastructure Online Services Digital Commerce

2025 Q1

Volatility

The manager views volatility as a powerful ally for long-term investors, creating windows of opportunity during market turbulence. They have been actively capitalizing on select opportunities during recent market swings, emphasizing that volatility is not inherently negative but rather creates periods when patience and discipline can lead to positive outcomes.

Market swings Opportunities Long-term investing Turbulence Windows

Trade Policy

The Trump administration has telegraphed its intention to employ tariffs to rebalance global trade. The portfolio has strategically managed tariff-related risks by avoiding excessive exposure to companies whose business models depend heavily on shipping products into the U.S. Tariffs remain less of a focus among other regions outside the U.S.

Tariffs Trade war Risk management Global trade Rebalancing

Date	Pitch Type	Author	Ticker	Company	Industry	Sub Industry	Bull / Bear	Exchange	Keywords	Action
No Elevator Pitches found

Date

Pitch Type

Author

Ticker

Company

Industry

Sub Industry

Bull / Bear

Exchange

Keywords

Action

No Elevator Pitches found

TICKER	COMMENTARY
TTE	Leading contributors to portfolio performance for the quarter included TotalEnergies
005930.KS	Leading contributors to portfolio performance for the quarter included leading electronics and semiconductor producer Samsung
GLEN.L	Leading contributors to portfolio performance for the quarter included Glencore
ORA.PA	Leading contributors to portfolio performance for the quarter included Orange
B3SA3.SA	Leading contributors to portfolio performance for the quarter included Brazilian stock exchange B3
BZ	The biggest detractors were Chinese online recruitment services firm Kanzhun
6098.T	The biggest detractors were Japanese online recruitment and HR technology platform Recruit Holdings
0700.HK	The biggest detractors were China's premier videogame and social platform Tencent
SONY	The biggest detractors were Sony Group
3690.HK	The biggest detractors were Meituan, China's leading online food and instant grocery delivery services company

TICKER

COMMENTARY

TTE

Leading contributors to portfolio performance for the quarter included TotalEnergies

005930.KS

Leading contributors to portfolio performance for the quarter included leading electronics and semiconductor producer Samsung

GLEN.L

Leading contributors to portfolio performance for the quarter included Glencore

ORA.PA

Leading contributors to portfolio performance for the quarter included Orange

B3SA3.SA

Leading contributors to portfolio performance for the quarter included Brazilian stock exchange B3

The biggest detractors were Chinese online recruitment services firm Kanzhun

6098.T

The biggest detractors were Japanese online recruitment and HR technology platform Recruit Holdings

0700.HK

The biggest detractors were China's premier videogame and social platform Tencent

SONY

The biggest detractors were Sony Group

3690.HK

The biggest detractors were Meituan, China's leading online food and instant grocery delivery services company

Ticker	Put/Call	Amount Bought	Shares Bought	% Change	Weight %
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Ticker	Put/Call	Amount Sold	Shares Sold	% Change	Weight %	Status
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No Recent Sells Data

Industry	Prev Quarter %	Current Quarter %	Change
No industry data available

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No industry data available

Investment Summary

Investor Summary

Fund Strategy

FUND PERFORMANCE AS OF 31st March 2026

Investor Letters

Latest Executive Summary:

Executive Summary

Core Thesis

Forward Outlook

Investment Themes

Geopolitical

Inflation

Resilience

Trade Policy

AI

Rates

Semiconductors

Trade Policy

Rates

Trade Policy

Semiconductors

Rates

E-commerce

Volatility

Trade Policy

Investor Pitches

Current Portfolio as of ( 31st March 2026 )

Key Risks identified by Manager:

Key catalysts include:

Portfolio Implications

Ticker Commentary

Lei Wang Top Holdings

Recent Buys (13F)

Recent Sells (13F)

13F Sector Summary

Portfolio Distribution

Latest 13D & 13G Filings

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Thornburg International Equity Fund