RMBS - Polen Global SMID Company Growth Portfolio Q4 2024 Commentary

2025-03-10 22:10:00 ET

Summary

• Over the fourth quarter, the Portfolio returned -2.28% gross of fees and -2.66% net of fees, respectively, versus the Index return of -3.37%.
• Despite the weight of a weak SMID cap market, we believe the Portfolio has meaningful latent growth and appreciation potential.
• Over the quarter, we initiated five new positions and sold out of four holdings.

Summary

• Over the fourth quarter of 2024, the Polen Global SMID Company Growth Composite Portfolio (the “Portfolio”) returned -2.28% gross and -2.66% net of fees, respectively, versus the -3.37% return of the MSCI ACWI SMID Capitalization Index (the “Index”).
• Shifting economic expectations and uncertainty surrounding political elections weighed on equity markets.
• The top contributors to the Portfolio’s relative and absolute performance over the fourth quarter were Warby Parker, Revolve Group, and Sanrio.
• The most significant detractors from relative and absolute performance were Insight Enterprises, Indutrade, and TopBuild.
• In the current environment, with several uncertainties, we remain focused on our Portfolio companies' long-term value propositions, competitive advantages, growth opportunities, and potential earnings power.

Seeks Growth & Capital Preservation (Performance (%) as of 12-31-2024)

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