Touchstone Sands Capital Emerging Markets Growth Fund Q1 2025 Commentary

(30min)

Summary

  • We focus on leading growth businesses with sustainable earnings, strong competitive advantages, and rational valuations, building a concentrated, conviction-weighted portfolio.
  • Despite underperforming the MSCI EM Index in Q1 2025, our fund outperformed the EM Growth Index, reflecting improved portfolio resilience and earnings stability.
  • Recent portfolio changes reflect our commitment to high-conviction, market-leading businesses and disciplined exits from positions with weakening fundamentals or disrupted outlooks.
  • We remain cautious amid global trade tensions, but our diversified, resilient portfolio is well-positioned to navigate uncertainty and capitalize on long-term growth opportunities.

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Fund Highlights

  • Seeks to identify leading growth businesses that meet the following criteria:
    • Sustainable, above-average earnings growth
    • Leadership position in a promising business space
    • Significant competitive advantages / distinctive business franchise
    • Clear mission and value-added focus
    • Financial strength

This article was written by

At Touchstone Investments, we recognize that not all mutual fund companies are created equal. Our commitment to being Distinctively Active means the employment of a fully integrated and rigorous process for identifying and partnering with asset managers who sub-advise our mutual funds and advocating a robust approach to portfolio construction that either uses standalone active strategies or serves as a complement to passive strategies. That is the power of Distinctively Active. Touchstone Funds are offered nationally through intermediaries including broker-dealers, financial planners, registered investment advisors and institutions by Touchstone Securities, Inc. For more information please call 800.638.8194 or visit www.touchstoneinvestments.com Specialties Touchstone Investments helps investors achieve their financial goals by providing access to a distinctive selection of institutional asset managers who are known and respected for proficiency in their specific area of expertise. Touchstone Securities Inc. is a registered broker-dealer and member FINRA and SIPC Note: This account is not managed or monitored by Touchstone Investments, and any messages sent via Seeking Alpha will not receive a response. For inquiries or communication, please use Touchstone Investments's official channels.

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