Carmignac Absolute Return Europe

• Geopolitical tensions once again dominated capital markets in June, with headlines led by Israel’s strike on Iran and subsequent U.S. involvement targeting Iranian nuclear facilities. These developments significantly influenced investor sentiment throughout the month.• Toward month-end, U.S. Treasury yields began to decline, driven by softer macroeconomic data. This shift prompted equity markets to start pricing in potential rate cuts anticipated later in the summer. • U.S. equities outperformed their European counterparts, which experienced modest profit-taking. As a result, the Stoxx 600 index declined by -1.33% over the month. • Within European markets, sector performance was mixed. Energy, Technology, Construction, and Industrials led the gains, while Food & Beverages, Consumer Products & Services, Media, and Retail lagged.

• Despite a period of geopolitically driven volatility and some profit-taking in European equities, the fund delivered a positive net return in June.• At the sector level, the strongest contribution came from Technology—particularly our semiconductor holdings—followed closely by Industrials, which continued to benefit from market focus on growing investment in power generation and grid infrastructure. • Retail Banks and Communication Services also added positively to performance. In contrast, Consumer sectors, Healthcare, and Materials were modest detractors, posting slightly negative returns for the month. • Key stock selection contributors included long positions in Prysmian, which gained on increasing order flow tied to electricity grid upgrades; ASM International, supported by a strong outlook for AI-driven chip demand; and SK Hynix, which benefited from robust demand for high-bandwidth memory used in AI applications. • Stock selection detractors included a long position in Deutsche Telekom, which declined amid dollar weakness and profit-taking in its U.S. mobile business, and Prada, which sold off despite strong fundamentals, impacted by profit warnings from peers in the luxury sector.

• We continued to actively scale both long and short positions, increasing gross exposure to around 130% and net exposure to around 30%. Net exposure remains dynamic, typically fluctuating by ±10 percentage points depending on index option hedging.• At the sector level, we added to Technology, particularly in analogue semiconductors, where early signs of recovery are emerging following an 18-month inventory correction. • We also increased exposure to Industrials, focusing on names linked to electrification trends, and to Consumer Discretionary via e-commerce beneficiaries Prosus and Allegro. • Beyond the ongoing U.S. tariff discussions—which are nearing initial deadlines but may be delayed into late July or early August—the key focus for markets will shift to the Q2 earnings season. • Equally important will be how current market positioning holds up in underperforming sectors and stocks. • We remain cautious on some of our consumer short positions, which have delivered strong returns year-to-date. Despite weak fundamentals, the risk of negative revisions already being priced in requires us to stay agile and ready to adjust exposure as needed.