International and Global Equity Strategies. Confluence offers International Equity strategies, focused on investing in the equity securities of issuers located in countries other than the U.S. (“Foreign Securities”) and Global Equity strategies, focused on investing in Foreign Securities as well as equity securities of U.S. companies. Confluence offers the following International Equity strategies—International Developed (developed foreign countries only), International Equity Income (developed foreign countries only), International Growth (developed foreign countries and may include limited exposure to emerging markets and frontier markets), International Opportunities (developed foreign countries and may include exposure to emerging markets and frontier markets) and Emerging Markets (emerging markets and may include exposure to frontier markets). Confluence also offers the following Global Equity strategies, Global Large Cap (developed countries including the U.S. and may include limited exposure to emerging markets), Global Developed (developed countries including the U.S.), Global Equity Income (developed countries including the U.S.) and Global Opportunities (developed countries including the U.S. and may include exposure to emerging markets and frontier markets). The Global Equity strategies are managed in conjunction with the Value Equity team. In its implementation of the International Equity and Global Equity strategies, Confluence utilizes Foreign Securities consisting primarily of U.S.-listed securities of non-U.S. issuers, including Foreign Securities listed directly on U.S. securities exchanges and U.S.-listed American Depository Receipts (ADRs) for Foreign Securities. Confluence may utilize Foreign Securities listed on securities exchanges outside of the U.S. The investment process for the International Equity and Global Equity strategies combines top- down macro analysis with bottom-up fundamental equity analysis to identify equity investments in favorable geographies, sectors and currencies. Confluence utilizes a team-based approach in which each member of the committee is either a macro strategist or an equity analyst first and foremost. Portfolio management decisions are made as a team. Our top-down macro analysis aims to identify favorable geographies (both countries and super- regions), sectors and currencies. Committee members who are macro strategists continuously review a wide array of global economic, geopolitical, and macro-financial data to ascertain important secular trend...
International and Global Equity Strategies. Confluence offers International Equity strategies, focused on investing in the equity securities of issuers located in countries other than the U.S. (“Foreign Securities”) and Global Equity strategies, focused on investing in Foreign Securities as well as equity securities of U.S. companies. In its implementation of the International Equity and Global Equity strategies, Confluence utilizes Foreign Securities consisting primarily of U.S.-listed securities of non-U.S. issuers, including Foreign Securities listed directly on U.S. securities exchanges and U.S.-listed American Depository Receipts (ADRs) for Foreign Securities. Confluence may utilize Foreign Securities listed on securities exchanges outside of the U.S. developments, the imposition of economic sanctions against a particular country or countries, changes in international trading patterns, trade barriers and other protectionist or retaliatory measures. Investments in foreign markets may also be adversely affected by governmental actions such as the imposition of capital controls, nationalization of companies or industries, expropriation of assets or the imposition of punitive taxes. In addition, the governments of certain countries may prohibit or impose substantial restrictions on foreign investments in their capital markets or in certain industries. Any of these actions could severely affect securities prices or impair Confluence’s ability to purchase or sell Foreign Securities. Other potential foreign market risks include foreign exchange controls, difficulties in pricing securities, difficulties in enforcing legal judgments in foreign courts and political and social instability. Diplomatic and political developments, including rapid and adverse political changes, social instability, regional conflicts, terrorism and war, could affect the economies, industries and securities and currency markets, and the value of Foreign Securities. These factors are extremely difficult, if not impossible, to predict and to incorporate in the management of International Equity and Global Equity strategies.
International and Global Equity Strategies. Confluence offers International Equity strategies, focused on investing in the equity securities of issuers located in countries other than the U.S. (“Foreign Securities”), and Global Equity strategies, focused on investing in Foreign Securities as well as equity securities of U.S. companies. In its implementation of the International Equity and Global Equity strategies, Confluence utilizes Foreign Securities consisting primarily of U.S.-listed securities of non-U.S. issuers, including Foreign Securities listed directly on U.S. securities exchanges and U.S.-listed American Depository Receipts (ADRs) for Foreign Securities. Confluence may utilize Foreign Securities listed on securities exchanges outside of the U.S.
International and Global Equity Strategies. The International and Global Equity strategies will invest in the securities of non-U.S. issuers (“Non-U.S. Securities”). Such investments involve certain risks not involved in domestic investments. Securities markets in foreign countries often are not as developed, efficient or liquid as securities markets in the United States and, therefore, the prices of Non-U.S. Securities can be more volatile. In addition, portfolios will be subject to risks associated with adverse political and economic developments in foreign countries, which could cause portfolios to lose money on its investments in Non-U.S. Securities. The economies of certain foreign markets may not compare favorably with the economy of the United States with respect to such issues as growth of gross national product, reinvestment of capital, resources and balance of payments position. Certain foreign economies rely heavily on particular industries or foreign capital and are more vulnerable to diplomatic developments, the imposition of economic sanctions against a particular country or countries, changes in international trading patterns, trade barriers and other protectionist or retaliatory measures. Investments in foreign markets may also be adversely affected by governmental actions such as the imposition of capital controls, nationalization of companies or industries, expropriation of assets or the imposition of punitive taxes. In addition, the governments of certain countries may prohibit or impose substantial restrictions on foreign investments in their capital markets or in certain industries. Any of these actions could severely affect prices of Non-U.S. Securities. In addition, the U.S. government has from time to time in the past imposed restrictions, through penalties and otherwise, on certain foreign investments by U.S. investors. Other potential foreign market risks include foreign exchange controls, difficulties in pricing securities, difficulties in enforcing legal judgments in foreign courts and political and social instability. Diplomatic and political developments, including rapid and adverse political changes, social instability, regional conflicts, terrorism and war, could affect the economies, industries and securities and currency markets, and the value of the investments in Non-U.S. Securities. These factors are extremely difficult, if not impossible, to predict. In general, less information is publicly available with respect to foreign issuers than is available with respect...
