Thornburg International Equity ESG Strategy
BENCHMARK: MSCI ACWI ex-U.S. Index
Strategy Overview
The International Equity ESG Strategy employs a rigorous bottom-up research process to identify promising stocks of non-U.S. companies trading below their intrinsic value. Actively integrating ESG (environmental, social and governance) criteria into the fundamental approach allows the strategy to reflect ESG values through the portfolio’s investments without sacrificing the potential for attractive long-term risk-adjusted performance. The portfolio is high conviction but also well diversified by sector, country and market capitalization. Our three-basket portfolio construction process aids in balancing risk across the portfolio.
Strategy Inception Date
1 Oct 2015
Portfolio Managers
Portfolio Manager and Managing Director
Portfolio Manager and Managing Director
Overview
Overview
Why Invest in This Strategy?
- Focused, diversified equity portfolio to include sustainable companies primarily in developed markets outside the U.S.
- Rigorous, fundamental research process focused on buying sustainable businesses with sound business fundamentals, trading at a discount to their intrinsic value and a defined path to success. Companies must also demonstrate one or more significant positive environmental, social and governance (ESG) characteristics; emphasizing the areas of environmental impact, ethical business activity, corporate governance, social factors surrounding customers, suppliers and employees and product integrity.
- Three-basket portfolio construction process seeks to provide style diversification and reduce volatility and deliver superior risk-adjusted performance over time.
Performance
Performance
Returns
(As of 30 Sep 2026)2016
2017
2018
2019
2020
2021
2022
2023
2024
2025
Thornburg International Equity ESG Strategy - Gross (%)
8.71
23.89
-12.64
25.96
28.11
22.22
-17.22
13.70
8.07
25.34
Thornburg International Equity ESG Strategy - Net (%)
7.67
23.46
-13.21
24.79
26.90
21.05
-17.98
12.62
7.03
24.15
MSCI ACWI ex-U.S. Index (%)
4.50
27.19
-14.20
21.51
10.65
7.82
-15.99
15.62
5.53
32.39
Strategy Facts
Strategy Facts
(As of 30 Sep 2026)Strategy Assets
$446.2 M
Benchmark
MSCI ACWI ex-U.S. Index
eVestment Category
ACWI ex-US All Cap Core Equity
Characteristics
Characteristics
Portfolio
(As of 30 Sep 2026)Portfolio
Benchmark
Number of Holdings
47
—
Weighted Average Market Cap
$362.9 B
$261.4 B
Median Market Cap
$114.6 B
$14.9 B
Annual Portfolio Turnover
67%
—
Price to Earnings - Forward 1YR
14.5x
13.8x
Portfolio
Benchmark
Price to Earnings - Trailing 12 Months
22.0x
19.1x
Price to Cash Flow
10.8x
11.1x
Price to Book Value
3.1x
2.3x
Active Share
80.1%
—
Portfolio
Portfolio
Top Holdings
(As of 30 Sep 2026)Name
Ticker/Symbol
Sector
Weight %
Taiwan Semiconductor Manufacturing Co. Ltd.
TSM
Information Technology
5.4
ING Groep N.V.
INGA
Financials
4.1
Schneider Electric SE
SU
Industrials
3.9
Endesa S.A.
ELE
Utilities
3.9
Tencent Holdings Ltd.
700
Communication Services
3.6
Roche Holding AG
ROP
Health Care
3.3
Mitsubishi UFJ Financial Group, Inc.
8306
Financials
3.2
Iberdrola S.A.
IBE
Utilities
3.2
SK Square Co. Ltd.
402340
Industrials
3.2
AstraZeneca plc
AZN
Health Care
3.1
Exposure Breakdown
Exposure Breakdown
(As of 30 Sep 2026)Sector Allocation
Portfolio (%)
Industrials
25.0
Information Technology
18.0
Financials
15.0
Utilities
9.9
Communication Services
7.6
Health Care
7.0
Consumer Discretionary
6.2
Cash & Equivalents
6.0
Materials
3.6
Consumer Staples
1.6
Energy
0.0
Real Estate
0.0
Top 10 Industries
Portfolio (%)
Capital Goods
20.4
Banks
10.1
Utilities
9.9
Semiconductors & Semiconductor Equipment
9.3
Pharmaceuticals, Biotechnology & Life Sciences
6.4
Technology Hardware & Equipment
5.3
Telecommunication Services
4.0
Materials
3.6
Media & Entertainment
3.6
Software & Services
3.4
Top 10 Countries
Portfolio (%)
Germany
11.2
United States
9.9
China
9.6
Japan
9.6
Spain
8.9
Switzerland
8.6
France
7.7
Korea, Republic of (South Korea)
5.5
Taiwan
5.4
Netherlands
5.4
Capitalization
Portfolio (%)
Large Cap (> $12 B)
98.3
Mid Cap ($2.5 to $12 B)
0.3
Small Cap (< $2.5 B)
1.4
Portfolio Managers
Portfolio Managers
Brian Burrell, CFA, FSA
Portfolio Manager and Managing Director
Brian Burrell is a portfolio manager for Thornburg Investment Management. He joined the firm in 2012 as an equity research analyst and became an associate portfolio manager in 2021 and portfolio manager in 2024. Brian earned a BA in economics from Reed College and an MBA from the University of Wisconsin in the Applied Security Analysis Program (ASAP). He is…
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Di Zhou, CFA, FRM®
Portfolio Manager and Managing Director
Di Zhou, CFA, FRM, is a portfolio manager for Thornburg Investment Management, rejoining the firm in 2025. From 2021 to 2025, Di was an investment principal at Cambiar. Prior to Cambiar, she joined Thornburg in 2010 as an equity research analyst and was promoted to associate portfolio manager in 2014, then to portfolio manager in 2015. Di began her career…
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