Carmignac Portfolio Long-Short European Equities

• April was one of the most volatile months for global markets, since the 2020 Covid crisis, largely influenced by geopolitical and economic developments.• “Liberation day” on April 2nd kicked off the month with a huge spike in volatility, as significant duties on imports were introduced. • The uncertainty over Trump’s chaotic tariff strategy, his mass firings of federal employees and a sometimes disdain for the US Constitution have unnerved investors. • Both the S&P 500 and the Nasdaq briefly entered bear market territory earlier in the month, while European markets faced challenges from a surging euro, which threatened exports. • The ECB cut its rates to 2.25%, citing exceptional uncertainty and trade tensions.

• In April, the fund posted a positive performance, driven by our Long book and our Hedging.• Our Core Longs suffered from the broader market selloff, as investors’ sentiment stayed negative on the trade tensions between the US and the rest of the world. Prada and Richemont were our worst detractors. • Prada, which has been one of our top contributors since we implemented the position in early 2020, was our biggest detractor. The stock dropped 10% during the month on tariffs’ uncertainty and the potential €1.5 billion acquisition of Versace. On April 30th, they reported a 13% increase in Q1 revenue thanks to Miu Miu’s growth, the best sales growth seen so far in the sector. We stay positive on the fundamentals and the execution of the management team and see the stock as significantly undervalued at this level. • Our Trading Longs had a positive contribution to our performance, driven by Deliveroo and Fresenius. Deliveroo released its Q1 trading update with accelerating order growth and received a £2.7bn acquisition offer from DoorDash, the US takeaway food leader. The stock was up about 30% during the month. • On the Short side, our Alpha Shorts detracted from performance, as Tech and cyclical stocks rallied mid-month on tariff easing.

• The net exposure of the strategy stayed low throughout the month, as the overall market volatility stayed elevated, and we remained constructive on the shorts.

• We keep strong convictions on the Long side in European companies excelling globally and benefiting from local monopolies.

• These include industries such as luxury goods, specialty engineering, ERP software, specialty chemicals, medical technology, aerospace and defense, and classifieds.

• We believe Europe presents for the first time in a long time a very attractive entry point, with a risk/reward skewed to the upside thanks to several factors we discuss in our latest quarterly letter.

• Germany has removed the fiscal drag which has weighted on Europe for more than a decade and the upcoming defense and infrastructure historic investment plan will have a profound impact on the overall region.

• On the short side, we continue to find many new names in the Consumer and Technology spaces with poor balance sheets and deteriorating fundamentals, bringing tightened margins and profit warnings.