In the second quarter, the Active M International Equity Fund demonstrated exceptional performance, surpassing the MSCI World ex USA IM Index by a notable margin. This success highlights the fund's strategic approach and effective management in a dynamic global market.

The fund's outperformance was primarily fueled by astute stock selection both within individual countries and across diverse sectors. Additionally, strategic country allocations played a crucial role. Specifically, WCM, a sub-adviser, significantly boosted returns through its overweight position and strong stock choices within the information technology sector. Similarly, Causeway Capital contributed positively by over-allocating to information technology, particularly in Japanese semiconductor firms, and showcasing robust stock picking capabilities in the financial, materials, and real estate sectors.

The second quarter saw non-U.S. developed markets, as represented by the MSCI World ex USA IM Index, achieve a 9.90% gain despite ongoing geopolitical tensions, inflation concerns, and the volatile momentum surrounding artificial intelligence. Following a market dip in March, which was largely attributed to rising oil prices, the fund's resilience and strategic positioning allowed it to capitalize on market movements and deliver superior results.

The strong performance of the Active M International Equity Fund underscores the importance of rigorous analysis and adaptive strategy in navigating complex global financial landscapes. By focusing on both micro and macro factors, the fund successfully translated market opportunities into significant gains for investors. This achievement reflects a commitment to identifying undervalued assets and capitalizing on sector-specific trends, ultimately driving growth and delivering value.