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Thornburg International Equity ESG ADR SMA

Strategy Overview
The strategy actively integrates ESG criteria into a rigorous, fundamental bottom-up process, enabling investors to align their portfolios with their ESG values without compromising the potential for strong risk-adjusted returns. This high-conviction portfolio is diversified across industries, sectors, and geographies. Additionally, our unique three-basket construction approach enhances diversification across investment styles, aiming to deliver consistent, long-term performance.
Strategy Inception Date
1 Jun 2022

Portfolio Managers

Portfolio Manager and Managing Director
Portfolio Manager and Managing Director
Portfolio Manager and Managing Director
Overview

Overview

Why Invest in This Strategy?

  • High-Conviction, Sustainable Investing – A focused and diversified equity portfolio targeting sustainable companies in primarily developed markets outside the U.S.
  • Disciplined, Research-Driven Approach – A rigorous fundamental process identifies businesses with strong financials, attractive valuations, and a clear path to long-term success—while demonstrating meaningful ESG characteristics.
  • Balanced Portfolio for Risk-Adjusted Returns – A three-basket construction process provides style diversification, reduces volatility, and seeks to deliver superior risk-adjusted performance over time.
Key Facts

Key Facts

(As of 31 Mar 2025)
Assets
$1.0 M
Benchmark
MSCI ACWI ex-U.S. Index
Number of Holdings
45
Portfolio Turnover
90%
Performance

Performance

Returns

(As of 31 Mar 2025)
YTD
1y
Inception
Thornburg International Equity ESG ADR Strategy - Gross (%)
4.36
8.17
8.55
Thornburg International Equity ESG ADR Strategy - Net (%)
4.21
7.53
7.91
MSCI ACWI ex-U.S. Index (%)
5.23
6.09
6.91
YTD
1y
Inception
Thornburg International Equity ESG ADR Strategy - Gross (%)
4.36
8.17
8.55
Thornburg International Equity ESG ADR Strategy - Net (%)
4.21
7.53
7.91
MSCI ACWI ex-U.S. Index (%)
5.23
6.09
6.91
2024
Thornburg International Equity ESG ADR Strategy - Gross (%)
10.57
Thornburg International Equity ESG ADR Strategy - Net (%)
9.92
MSCI ACWI ex-U.S. Index (%)
5.53
Characteristics

Characteristics

Portfolio

(As of 31 Mar 2025)
Portfolio
Benchmark
Weighted Average Market Cap
$118.1 B
$107.5 B
Median Market Cap
$70.7 B
$11.0 B
Price to Earnings - Forward 1YR
19.0x
13.8x
Price to Earnings - Trailing 12 Months
21.1x
16.0x
Price to Cash Flow
12.3x
8.7x
Portfolio
Benchmark
Price to Book Value
2.7x
1.9x
Return on Assets - 5 YR
6.1%
6.5%
Return on Equity - 5 YR
13.6%
15.5%
Historical 3YR Sales Growth
6.7%
16.0%
Active Share
87.9%
Portfolio

Portfolio

Top Holdings

(As of 28 Feb 2025)
Name
Ticker/Symbol
Sector
Weight %
SAP SE
SAP
Information Technology
3.6
Canadian Pacific Kansas City Ltd.
CP
Industrials
3.5
Linde plc
LIN
Materials
3.5
Alcon AG
ALC
Health Care
3.5
Hitachi Ltd.
HTHIY
Industrials
3.3
Mitsubishi UFJ Financial Group, Inc.
MUFG
Financials
3.3
LVMH Moet Hennessy Louis Vuitton SE
LVMUY
Consumer Discretionary
3.3
BNP Paribas S.A.
BNPQY
Financials
3.1
Danone S.A.
DANOY
Consumer Staples
3.1
L'Oreal S.A.
LRLCY
Consumer Staples
3.0
Exposure Breakdown

Exposure Breakdown

(As of 31 Mar 2025)
Sector Allocation
Portfolio (%)
Benchmark (%)

Portfolio

Benchmark

0%
5%
10%
15%
20%
25%
30%
Industrials
21.3
14.0
Financials
18.4
24.8
Consumer Discretionary
11.0
11.1
Health Care
10.8
8.7
Utilities
8.1
3.1
Information Technology
7.8
12.2
Consumer Staples
7.7
6.9
Cash & Cash Equivalents
5.7
Communication Services
5.6
6.2
Materials
3.6
6.3
Real Estate
0.0
1.7
Energy
0.0
5.0
Sector Allocation
Portfolio (%)
Industrials
21.3
Financials
18.4
Consumer Discretionary
11.0
Health Care
10.8
Utilities
8.1
Information Technology
7.8
Consumer Staples
7.7
Cash & Cash Equivalents
5.7
Communication Services
5.6
Materials
3.6
Real Estate
0.0
Energy
0.0
Top 10 Industries
Portfolio (%)
Benchmark (%)

Portfolio

Benchmark

0%
5%
10%
15%
20%
Capital Goods
12.6
10.3
Financial Services
9.8
4.0
Consumer Durables & Apparel
9.1
2.9
Utilities
8.1
3.1
Banks
6.6
15.3
Pharmaceuticals, Biotechnology & Life Sciences
6.6
7.0
Software & Services
5.3
3.5
Commercial & Professional Services
5.1
1.6
Health Care Equipment & Services
4.2
1.7
Transportation
3.7
2.1
Top 10 Industries
Portfolio (%)
Capital Goods
12.6
Financial Services
9.8
Consumer Durables & Apparel
9.1
Utilities
8.1
Banks
6.6
Pharmaceuticals, Biotechnology & Life Sciences
6.6
Software & Services
5.3
Commercial & Professional Services
5.1
Health Care Equipment & Services
4.2
Transportation
3.7
Top 10 Countries
Portfolio (%)
Benchmark (%)
Region

Portfolio

Benchmark

0%
5%
10%
15%
20%
Japan
19.8
13.7
Japan
France
19.5
7.3
Europe ex UK
United States
13.5
0.1
North America
United Kingdom
7.3
9.6
UK
Switzerland
5.8
6.3
Europe ex UK
Germany
5.7
6.3
Europe ex UK
Spain
4.9
2.0
Europe ex UK
Italy
4.6
1.9
Europe ex UK
Canada
3.2
7.8
North America
Brazil
2.0
1.3
Latin America
Top 10 Countries
Portfolio (%)
Japan
19.8
France
19.5
United States
13.5
United Kingdom
7.3
Switzerland
5.8
Germany
5.7
Spain
4.9
Italy
4.6
Canada
3.2
Brazil
2.0
Capitalization
Portfolio (%)
Benchmark (%)

Portfolio

Benchmark

0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
Large Cap (> $12 B)
86.2
86.4
Mid Cap ($2.5 to $12 B)
11.6
13.5
Small Cap (< $2.5 B)
2.2
0.0
Capitalization
Portfolio (%)
Large Cap (> $12 B)
86.2
Mid Cap ($2.5 to $12 B)
11.6
Small Cap (< $2.5 B)
2.2
Portfolio Managers

Portfolio Managers

Lei Wang, CFA

Lei Wang, CFA

Portfolio Manager and Managing Director
Lei Wang is portfolio manager for Thornburg Investment Management. He joined Thornburg Investment Management in 2004 as associate portfolio ­manager and was promoted to portfolio manager in 2006. Lei holds a BA and an MA from East China Normal University and an MBA from New York University. He is a CFA charterholder. Prior to joining Thornburg, he served as an…
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Brian Burrell, CFA

Brian Burrell, CFA

Portfolio Manager and Managing Director
Brian Burrell is portfolio manager for Thornburg Investment Management. He joined the firm in 2012 as an equity research analyst and became an associate portfolio manager in 2021 and portfolio manager in 2024. Brian earned a BA in economics from Reed College and an MBA from the University of Wisconsin in the Applied Security Analysis Program (ASAP). He is a…
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Joe Salmond

Joe Salmond

Portfolio Manager and Managing Director
Joe Salmond is portfolio manager for Thornburg Investment Management. He joined the firm in 2018 as an equity research analyst and became an associate portfolio manager in 2021, managing director in 2023 and portfolio manager in 2024. Joe earned an MBA from the Tepper School of Business at Carnegie Mellon University and graduated from Arizona State University with a BS…
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