Letter to Shareholders – Annual Report

May 2015 – In his address to shareholders, Andrew Foster discusses the performance of the Fund during the fiscal year, which is perhaps best described as “a tale of two halves.” He reflects on recent events within China, and urges investors to carefully observe the country’s economic transition, regardless of their views about the country’s investment merit. Next, Andrew provides data on the three-year performance record of the Fund, and places that record in some context versus the Fund’s stated investment objectives. He concludes by introducing Seafarer’s efforts to embrace new modes of communication with existing and prospective shareholders.

Letter to Shareholders

Portfolio Review – First Quarter 2015

April 2015 – In his portfolio review, Andrew Foster discusses SPARC, a position that made an outsized contribution to the Fund’s return during the first quarter. Next, he reflects on the Fund’s historical performance record. He notes the Fund’s relatively conservative strategy was well-suited for the difficult conditions that prevailed in the past three years, but he cautions that a change in those conditions – driven by a resumption of earnings growth – might render the Fund’s strategy less effective. After discussing some changes in the Fund’s construction, he concedes that he has been wrong to suggest that currency risk might moderate – at least so far.

Portfolio Review

Seafarer Overseas Growth and Income Fund

Investment Objective

The Fund seeks to provide long-term capital appreciation along with some current income; it also seeks to mitigate adverse volatility in returns.

Strategy

The Fund invests primarily in the securities of companies located in developing countries. The Fund invests in several asset classes including dividend-paying common stocks, preferred stocks, convertible bonds, and fixed-income securities. More...

News and Commentary

Morningstar: What's Going on in China?

In an interview with Morningstar, Andrew Foster discusses the causes of recent volatility in the Chinese stock market, and what it means for China’s economy.

China’s Emergence, In Context

Andrew Foster admits that valuations on individual Chinese stocks are unsustainable and are likely to collapse. However, in his opinion, the overall growth of Chinese stock market capitalization does not constitute an ordinary bubble – the situation is far more complex. Andrew offers some data from history to place the evolution of China’s markets in context. He examines how the re-allocation of Chinese household wealth – away from property, and towards equities