ARGA Emerging Market Equity- A (USD) ACC

Fund Snapshot

ISIN	IE00BP41KZ81
Share Class	A
Investor Category	Retails
Inception Date	Sep 3, 2014
Fund AUM	265.9M
Fund AUM Date	Jul 6, 2022
Drawdown Risk	High

Fees

Expense Ratio	1.25%
Fund Management Fee	1.00%
Fund Performance Fee	Not Applicable

Fund Overview

The ARGA Emerging Markets Equity strategy is designed to generate long-term capital appreciation by investing in equity and equity-linked securities of companies across emerging markets that are trading below their estimated intrinsic value. The underlying philosophy is based on a simple observation: financial markets often overreact to short-term disruptions, creating temporary pricing distortions. These distortions can offer attractive entry points for patient, value-focused investors. To identify such opportunities, the strategy follows a structured bottom-up investment framework. The process begins with a global quantitative screening system that scans thousands of companies to highlight businesses that appear undervalued based on key financial metrics. From this starting point, the investment team conducts deep fundamental research, including detailed financial modeling and validation of assumptions, to determine the company’s true economic value. The final portfolio is built after evaluating valuation attractiveness, portfolio risk considerations, and Environmental, Social, and Governance (ESG) factors. The strategy is managed by ARGA Investment Management, LP, a global value-focused asset manager. The ARGA Emerging Markets Equity Composite includes multiple investment vehicles such as a private fund, a UCITS fund, a collective investment trust, and separate managed accounts. The UCITS version of the fund is structured and domiciled in Ireland.

Subscriptions

Frequency	Daily
Cutoff Date	16 Mar 2026 6:45 PM SGT
Estimated Nav Date	Mar 16, 2026
Estimated Settlement Date	Mar 19, 2026
Minimum Initial	USD 2,500.00
Minimum Subsequent	USD 2,500.00

Fund Strategy

ARGA follows a disciplined value investing philosophy that seeks to take advantage of market inefficiencies. The firm believes that investor psychology, short-term thinking, and macro uncertainty often cause stocks to deviate significantly from their intrinsic worth. The core objective is to identify businesses whose current market price fails to reflect their long-term economic potential. Key components of the strategy include:

Valuation-Focused Approach

Investment opportunities are identified by comparing the market price of a company with its estimated intrinsic value. ARGA uses a proprietary Dividend Discount Model (DDM) to assess both base-case and stress-case valuations, helping the team determine the level of undervaluation.

Deep Fundamental Research

A global team of sector specialists conducts detailed company analysis, evaluating industry dynamics, competitive positioning, financial statements, and management quality. This structured approach aims to ensure that valuation assumptions are grounded in rigorous research rather than market sentiment.

ESG Integration

Environmental, Social, and Governance considerations are embedded directly into the investment process. ARGA uses an internal ESG scoring system to identify potential risks and opportunities. These insights influence valuation models and guide engagement with portfolio companies.

Long-Term Investment Horizon

The strategy focuses on long-term value realization. ARGA believes that undervalued companies often require time for market perceptions to adjust and for fundamental improvements to be recognized.

Portfolio Construction

The strategy typically holds a portfolio of 35 to 80 companies selected from the emerging markets universe. Stock selection is the primary driver of portfolio allocation, emphasizing diversification across industries and geographies while maintaining exposure to the most compelling value opportunities. As of September 30, 2025, the portfolio consisted of 61 holdings and maintained an active share of 75%, indicating a high degree of differentiation from benchmark indices.

Sector Allocation

Sector exposures reflect where the investment team identifies the strongest valuation opportunities.

Sector	Allocation
Financials	31%
Information Technology	22%
Consumer Discretionary	18%
Materials	9%
Communication Services	5%
Consumer Staples	4%
Energy	4%
Industrials	4%
Real Estate	3%

This distribution highlights the portfolio’s emphasis on sectors where market dislocations have created attractive value opportunities.

Geographic Allocation

The portfolio is diversified across several emerging market regions to manage country-specific risk while capturing growth across different economic cycles.

Region / Country	Allocation
China	29%
Asia (Other)	19%
Brazil	16%
Taiwan	15%
South Korea	13%
EMEA	6%
Other Latin America	2%

Risk Management Framework

ARGA integrates risk management into every stage of its investment process, aiming to protect capital while maintaining exposure to attractive long-term opportunities. The framework combines deep fundamental analysis with systematic monitoring tools to control both company-specific and portfolio-level risks. Key elements include:

Exposure Limits

The strategy follows defined portfolio limits to control concentration risk. Individual company exposure is capped at 5% at cost and 8% at market value, while industry exposure is limited to 25% at cost and 35% at market.

Scenario and Stress Testing

The investment team regularly conducts stress tests to evaluate how individual holdings and the overall portfolio might behave during adverse economic or market conditions.

Structured Risk Monitoring

Investments are categorized into structured “risk buckets,” allowing the team to track various types of risks systematically and maintain portfolio balance.

Continuous Monitoring

Portfolio holdings are monitored daily through updated financial metrics, ongoing research discussions, and regular reassessment of valuation assumptions. Positions are reduced or exited when valuations become fully priced or when more compelling opportunities emerge. This disciplined oversight ensures that investment decisions are guided by both valuation attractiveness and a comprehensive understanding of risk.

Key Investment Risks

Like any emerging market equity strategy, the ARGA Emerging Markets Equity fund carries several inherent risks.

Market and Economic Risk

Equity markets are influenced by macroeconomic conditions, geopolitical developments, and investor sentiment. Emerging markets can experience higher volatility due to factors such as political instability, regulatory changes, and lower market liquidity.

Value Style Risk

Value-oriented strategies may underperform during periods when growth stocks dominate market returns. Additionally, stocks identified as undervalued may take longer than expected for the market to recognize their true worth.

Manager Risk

Fund performance depends heavily on the investment manager’s ability to identify mispriced securities and construct an effective portfolio.

Currency Risk

Since the strategy invests in multiple emerging market currencies, fluctuations in exchange rates relative to the U.S. dollar can impact investment returns.

Key-Person Risk

The strategy relies on the expertise of senior investment professionals, particularly the Chief Investment Officer. Any unexpected change in leadership could influence the fund’s investment process.

Why Consider This Fund?

Several factors differentiate the ARGA Emerging Markets Equity strategy:

• Managed by a global institutional value investment firm with a strong research foundation
• Utilizes proprietary global industry models combined with ESG analysis
• Has outperformed the Emerging Markets Index by approximately 7% over the past year

These elements position the strategy as a disciplined, research-driven approach for investors seeking long-term value opportunities across emerging market equities.