Summary

• The US stock market underwent a welcome broadening early in the quarter, with the S&P 500 Equal Weight Index gaining 7.1% versus the traditional market capitalization based S&P 500 Index's modest 0.7%.
• Madison Diversified Income Fund Class A shares delivered a 2.00% return for the quarter ending March 31, 2026, amid significant market volatility following geopolitical conflict.
• Madison Asset Management notes that while credit spreads have widened since late January, risk compensation demands from corporate bond investors remain relatively tame and have loosened since mid-March.
• Madison Diversified Income Fund sees the back-up in interest rates and widening of corporate bond spreads as potential opportunities to reset duration and corporate bond positioning incrementally higher.
• The Madison Diversified Income Fund continues to monitor Middle East tensions but does not currently believe the conflict has materially increased recession odds for the US economy.

Market Recap - First Quarter 2026

There were many memorable moments during the first quarter of 2026, the capture of Nicolas Maduro, the perceived death of software due to AI disruption, upheaval within the private credit market, the

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