Portfolio Review – Second Quarter 2014

July 2014 – In his portfolio review, Andrew Foster discusses the Fund’s recent performance and highlights a shift in the portfolio’s construct – a minor “tilt” that favors growth potential over defensiveness. He concludes with a brief outlook focused on the recently improved performance of Chinese equities. Have Chinese equities shaken off their slump because they are cheap, and economic conditions in China are not as bad as previously believed? Or has their recovery been orchestrated so as to facilitate the issuance of substantial quantities of stock? Andrew believes both explanations hold merit – and he intends for the Fund to remain invested in China, even if forthcoming issuance might unsettle markets.

Portfolio Review

Letter to Shareholders – Annual Report

May 2014 – In his address to shareholders, Andrew Foster reflects on the numerous shocks that weighed upon the emerging markets during the past year. Despite such challenges, stock prices were remarkably resilient; Andrew asserts this was because equities in the developing world were (and are) inexpensive. During a year beset by many troubles, China was the most worrisome market of all. Andrew acknowledges his concerns, but encourages shareholders to peer over the “great wall of worry.” The Middle Kingdom is engaged in a sweeping set of economic reforms that have the potential to put the country on an improved path. The final section of the letter includes announcements of interest to shareholders.

Letter to Shareholders

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.


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

Field Notes: Chengdu

Chengdu’s cityscape reflects its rising economic and political clout - but the city also holds a number of deeply troubled commercial property projects, mirroring broader problems across China.

Shareholder Conference Call

The Shareholder Conference Call addressed three topics: Fund Retrospective, Confronting China’s Great Wall of Worry, and a Cross Section of the Seafarer Fund. Listen to the audio replay. View the presentation.