Even amid the past 10-year dominance of US equity markets, most of the top 50 performing companies in the world were located outside the US.1 That’s why careful, highly skilled selection of international equities may be a smart way for investors to diversify their portfolios for greater growth and less volatility potential.2

WCM Investment Management provides innovative growth equity solutions that go beyond borders and benchmarks to find what they believe are the best opportunities the world has to offer for long-term growth potential. Through in-depth, fundamental proprietary research, WCM focuses on companies with growing competitive advantages and superior corporate culture. This combination, WCM believes, enables them to seek long-term excess returns and mitigate downside risk for their concentrated portfolios.


Fund Results

Whether you are looking to fill an international, emerging markets, international small cap or global equity gap in your portfolio, WCM has a strategy, along with competitive performance, for your consideration.

To gauge how well a portfolio fared relative to its market index during periods when the market was rising or declining, consider the up capture and down capture ratios, below. For example, a down capture ratio less than 100 shows a portfolio outperformed the index during a declining market. Meanwhile, an upside capture ratio of less than 100 shows the portfolio lagged the index during a rising market.

Overall Rating: out of 383 funds

Morningstar Category

Foreign Large Growth

Performance:

Institutional Class Index: MSCI ACWI ex US

 

Up Capture

Down Capture

1 year

108.88%

42.11%

3 years

104.27%

56.20%

5 years

99.62%

56.94%

Life of Class

118.52%

72.16%

Overall Rating: out of 697 funds

Morningstar Category

Diversified Emerging Markets

Performance:

Institutional Class Index: MSCI Emerging Markets

 

Up Capture

Down Capture

1 year

118.76%

164.64%

3 years

117.63%

88.76%

5 years

105.67%

84.99%

Life of Class

119.60%

107.27%

Overall Rating: out of 762 funds

Morningstar Category

World Large Stock

Performance:

Institutional Class Index: MSCI ACWI

 

Up Capture

Down Capture

1 year

99.04%

60.29%

3 years

106.99%

70.45%

5 years

105.51%

74.66%

Life of Class

111.47%

64.49%

Overall Rating: out of 115 funds

Morningstar Category

Foreign Small/Mid Growth

Performance:

Institutional Class Index: MSCI ACWI ex US Small Cap

 

Up Capture

Down Capture

1 year

122.58%

60.44%

3 years

126.89%

69.33%

5 years

121.89%

67.75%

Life of Class

119.39%

67.92%

Performance data shown represents past performance and is no guarantee of, and not necessarily indicative of, future results. Total return and value will vary and you may have a gain or loss when shares are sold. Current performance may be lower or higher than quoted. Returns include changes in share price and reinvestment of dividends and capital gains, if any.

Overall rating derived from weighted average of the 3-, 5- and 10-year (if applicable) Morningstar Rating metrics; other ratings based on risk-adjusted returns as of March 31, 2021. For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating™ used to rank the fund against other funds in the same category. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a fund’s monthly excess performance, without any adjustments for loads (front-end, deferred, or redemption fees), placing more emphasis on downward variations and rewarding consistent performance. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star (each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages).

Up capture ratio is calculated by dividing the fund’s returns by the returns of the index during the up market, and multiplying that factor by 100. Down capture ratio is calculated by dividing the fund’s returns by the returns of the index during the down market and multiplying that factor by 100.



WCM funds are rated against the following numbers of US-domiciled Morningstar categories over the following time periods, as of 03/31/2021.

Fund Name Morningstar Cateogry Ticker Overall Rating 3-Year Rating 5-Year Rating 10-Year Rating
WCM Focused International Growth Fund Foreign Large Growth WCMIX 5 stars
out of 383
5 stars
out of 383
5 stars
out of 320
N/A
WCM Focused Emerging Markets Fund Diversified Emerging Markets WCMEX 5 stars
out of 697
5 stars
out of 697
5 stars
out of 596
N/A
WCM Focused Global Growth Fund World Large Stock WCMGX 5 stars
out of 762
5 stars
out of 762
5 stars
out of 645
N/A
WCM International Small Cap Growth Fund Foreign Small/Mid Growth WCMSX 5 stars
out of 115
5 stars
out of 115
5 stars
out of 101
N/A

Overall rating derived from weighted average of the 3-, 5- and 10-year (if applicable) Morningstar Rating metrics; other ratings based on risk-adjusted returns as of March 31, 2021. For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating™ used to rank the fund against other funds in the same category. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a fund’s monthly excess performance, without any adjustments for loads (front-end, deferred, or redemption fees), placing more emphasis on downward variations and rewarding consistent performance. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star (each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages). Overall ratings are derived from a weighted average of the performance figures associated with three-, five-, and ten-year (if applicable) Morningstar metrics.

WCM Focused International Growth Fund

WCM Focused Emerging Markets Fund

WCM Focused Global Growth Fund

WCM International Small Cap Growth Fund

Overall rating derived from weighted average of the 3-, 5- and 10-year (if applicable) Morningstar Rating metrics; other ratings based on risk-adjusted returns as of March 31, 2021. For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating™ used to rank the fund against other funds in the same category. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a fund’s monthly excess performance, without any adjustments for loads (front-end, deferred, or redemption fees), placing more emphasis on downward variations and rewarding consistent performance. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star (each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages). Overall ratings are derived from a weighted average of the performance figures associated with three-, five-, and ten-year (if applicable) Morningstar metrics.



Distinct Growth Approach

Relying on proprietary research, WCM’s bottom-up investment approach seeks to identify companies with attractive fundamentals, such as low or no debt, rising returns on invested capital, and reasonably predictable free cash flow generation. The team focuses on assessing the trajectory of a company’s competitive advantage (“economic moat”) and the alignment of its corporate culture with this economic moat.

MOATS

Businesses with durable and growing competitive advantages.

CULTURE

Great people, empowered and engaged, define success.

TAILWINDS

Businesses benefiting from long-lasting global trends.

FOCUSED

Only best ideas; outperform with controlled risk.

VALUATION

Great growth companies at fair prices contribute to margin of safety.

WCM feels strongly about the correlation between corporate culture and investment returns and has a dedicated business culture analyst who works closely with business analysts and portfolio managers. Their culture analysis focuses on finding corporate cultures that foster behaviors beneficial to the company’s competitive edge, that display adaptability in the face of internal and external challenges, and that permeate the organization at all levels.

Overall, the firm’s highly selective equity investment process, with a minimum time horizon of 3–5 years, includes the criteria shown in the above graphic. Also, risk control is systematic and built into every aspect of the WCM process. This helps to ensure portfolios participate to a much lesser degree when markets decline.