Group 1: Fund Performance - Ariel Global Fund achieved a +23.30% return for the year 2025, outperforming both the MSCI ACWI and MSCI ACWI Value indices, although it lagged in the fourth quarter with a +2.88% return compared to +3.29% and +3.66% for the indices [1] - The positive performance was supported by moderating inflation, easing financial conditions, and resilient corporate earnings, particularly driven by U.S. mega-cap technology stocks and a strong rebound in China [1] Group 2: Stock Selection and Sector Performance - Performance was primarily driven by stock selection, with gains in financials and information technology, while consumer discretionary and healthcare holdings faced weaknesses [1] - Several individual positions encountered short-term pressures due to higher costs, restructuring charges, or softer demand [1] Group 3: Outlook and Investment Strategy - Management remains optimistic about international equities, citing improving corporate fundamentals, supportive policy environments, and attractive valuations relative to growth prospects [1] - Increasing market dispersion and a broadening of leadership beyond U.S. mega-cap stocks create a favorable environment for active, bottom-up stock selection focused on companies with strong balance sheets and durable earnings [1] Group 4: Hewlett Packard Enterprise Company (HPE) - Ariel Investments initiated a position in Hewlett Packard Enterprise Company (NYSE:HPE), which provides enterprise hardware solutions and recently acquired Juniper Networks to enhance its networking capabilities [3] - Despite cautious guidance and inconsistent execution history, HPE is viewed as having potential catalysts from upcoming product refreshes and growth in AI-driven infrastructure [3] - The stock has shown a one-month return of 4.48%, with a market capitalization of approximately $30.04 billion as of March 30, 2026 [2]