Global Equity Fund

September 30, 2025

Market Context

• Global stocks, as measured by the Morningstar Developed Markets Index, were up 9.7% in Canadian dollar terms in the third quarter.
• In the U.S., AI-driven companies regained momentum late in the quarter following positive developments from Nvidia and OpenAI, fueling renewed enthusiasm for technology and semiconductor stocks. Sector performance was mixed, with technology and energy leading on AI infrastructure demand and energy consolidation, while healthcare and certain consumer areas lagged as valuations reset.
• European financials benefited from improving economic conditions, steeper yield curves, and increased fiscal support.

Portfolio Specifics

• The fund delivered strong early-quarter gains, but September’s heightened volatility, driven by a rotation back into concentrated AI trades, tempered performance.
• SAMSUNG ELECTRONICS gained on expectations it will supply high-bandwidth memory chips to Nvidia. ERSTE GROUP outperformed on strong results, its acquisition of Santander’s Polish unit, and the broader rally in European financials.
• CAMECO advanced as nuclear energy gained recognition as a key enabler of AI data centers, though the position is now near its maximum allocation and may be trimmed.
• MONOTARO, a Japanese ecommerce company, fell more than 20% during the quarter after a slowdown in monthly sales growth led to a sharp reset in its share price. Large enterprise customers, now 35% of sales and growing 20–25% year over year, remain a key long-term driver.
• NEMETSCHEK, an architectural software company, also declined as part of a broader software pullback, where valuation compression outweighed underlying fundamentals.
• There were no new purchases or sales in the fund during the quarter. Our manager, Aristotle Capital, is focusing research on future investments in the semi-conductor value chain, where software and design firms are critical to advancing AI infrastructure; U.S. health insurers, which look increasingly attractive as valuations reset and annual repricing enhances earnings visibility; and energy, where consolidation following Chevron’s acquisition of Hess may create new openings.

Positioning

• Investments are spread across industries, both fast-growing and steady-eddy, focusing on companies with strong market positions. Aristotle looks for quality businesses with competitive advantages, pricing power, and experienced leadership.

Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Important information about the Steadyhand funds is contained in our Simplified Prospectus. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently, and past performance may not be repeated.