Summary

• Nomura Mid Cap Income Opportunities Fund Institutional Class shares underperformed the Fund's benchmark.
• Negative sector allocation to energy was the primary detractor during the quarter.
• Sector allocation to materials and financials were strong contributors but not enough to overcome energy underweights.
• The investment team expects earnings dispersions to remain wide, favoring companies with durable competitive advantages, strong balance sheets, and the ability to compound earnings and deliver sustainable dividend yields.

Market review

Escalating geopolitical tensions led to increasing headwinds for US equity markets in 1Q26. Following a strong start that carried into February, the onset of war in Iran elevated energy prices and heightened volatility across sectors. The

49 Followers