In their introduction, the managers note that the month was characterized by weaker market sentiment. The escalation of the conflict in the Middle East drove up energy prices, triggering a broad sell-off across equity markets.
The primary contributors to the fund's performance during the month were Shell, Yara, and TGS. Yara benefited from supply disruptions in the fertilizer market, which led to price increases of 40 to 50 percent.
On the negative side, the main detractors were Samsung Electronics, Hana Financial Group, and Boliden.
Mining company Boliden was weighed down by a production halt at the Garpenberg mine following seismic activity. The fund took advantage of the share price weakness to buy back positions that had been trimmed earlier in the year.
"In our view, the market reaction essentially wiped out most of the mine's value, which we consider excessive from a long-term perspective," the managers write.
During the month, the fund established new positions in Easyjet, Elkem, and Vestas. Concurrently, the entire holdings in BASF, as well as IT companies Broadcom and Applied Materials, were divested.
The managers believe the market is underestimating the probability of persistently higher inflation and interest rates, particularly in the United States. The fund continues to favor undervalued companies in the financial, industrial, and energy sectors.
At month-end, the fund's three largest equity holdings were Novo Nordisk, ISS, and Ping An Insurance Group, with portfolio weightings of 4.2, 3.7, and 3.5 percent, respectively.
Geographically, the fund's primary exposures were to Denmark, Sweden, and South Korea, with weightings of 18.3, 10.9, and 10.8 percent, respectively.
| SKAGEN Vekst B, % | March, 2026 |
| Fund M/M, change in percent | -5.39 |
| Fund YTD, change in percent | -2.02 |
