In 2020, we re-joined the Artisan International Value Team, led by David Samra, to incept the Artisan International Explorer Strategy. Back then, in the throes of a global pandemic, we thought we already lived in rather interesting times. We had no clue about the increasing challenges the world was about to face—war in some parts and civil unrest in others, shortage of energy in some countries and of food in others, incredibly bad politics and policies in some and uncertainty in others, increasing inflation, rising rates and volatile exchange rates, and the list goes on.

As the Strategy marks its three-year anniversary, we reflect with David on why using a proven investment philosophy and repeatable discipline is paramount, especially during times when even a crystal ball might not help.

Past performance does not guarantee and is not a reliable indicator of future results. Click here for standardized Fund performance.

The value of portfolio securities selected by the investment team may rise or fall in response to company, market, economic, political, regulatory or other news, at times greater than the market or benchmark index. International investments involve special risks, including currency fluctuation, lower liquidity, different accounting methods and economic and political systems, and higher transaction costs. These risks typically are greater in emerging and less developed markets, including frontier markets. Such risks include new and rapidly changing political and economic structures, which may cause instability; underdeveloped securities markets; and higher likelihood of high levels of inflation, deflation or currency devaluations. Securities of small- and medium-sized companies tend to have a shorter history of operations, be more volatile and less liquid and may have underperformed securities of large companies during some periods. Value securities may underperform other asset types during a given period.

MSCI All Country World ex USA Small Cap Index measures the performance of small-cap companies in developed markets and emerging markets excluding the US. MSCI EAFE Index measures the performance of developed markets, excluding the US and Canada. MSCI All Country World ex USA Index measures the performance of developed and emerging markets, excluding the US. The index(es) are unmanaged; include net reinvested dividends; do not reflect fees or expenses; and are not available for direct investment. MSCI makes no express or implied warranties or representations and shall have no liability whatsoever with respect to any MSCI data contained herein. The MSCI data may not be further redistributed or used to create indices or financial products. This report is not approved or produced by MSCI.

This material is provided for informational purposes without regard to your particular investment needs. This material shall not be construed as investment or tax advice on which you may rely for your investment decisions. Investors should consult their financial and tax adviser before making investments in order to determine the appropriateness of any investment product discussed herein.

Discounted cash flow (DCF) is a valuation method used to estimate the value of an investment based on its expected future cash flows. Earnings Before Interest & Tax (EBIT) is an indicator of a company's profitability, calculated as revenue minus expenses, excluding tax and interest. Earnings power is a figure that telegraphs a business's ability to generate profits over the long term, assuming all current operational conditions generally remain constant. Enterprise Value (EV) is a measure of a company’s value. Earnings per Share (EPS) is the portion of a company's profit allocated to each outstanding share of common stock. Fair Market Value is a subjective estimate of what a willing buyer would pay a willing seller for a given asset assuming both have a reasonable knowledge of the asset’s worth. Hurdle Rate is the minimum rate of return on a project or investment required by a manager or investor. In order to compensate for risk, the riskier the project, the higher the hurdle rate. Normalized Earnings are earnings that are adjusted for the cyclical ups and downs over a business cycle. Price-to-Earnings (P/E) is a valuation ratio of a company's current share price compared to its per-share earnings. Net Operating Profit after Tax (NOPAT) is a financial measure that shows how well a company performed through its core operations, net of taxes. Profit before Tax (PBT) is the total profit a business makes before income tax is applied on the revenue. Variable Average Cost (VAC) is the total variable cost per unit of output. Margin of Safety, a concept developed by Benjamin Graham, is the difference between the market price and the estimated intrinsic value of a business. A large margin of safety may help guard against permanent capital loss and improve the probability of capital appreciation. Margin of safety does not prevent market loss all investments contain risk and may lose value.