We are pleased to provide you with a summary report on the performance of the WCM Quality Global Growth Equity Strategy (the Strategy) for December 2025.
The Strategy1 delivered a return of 0.76% during the month, outperforming the benchmark MSCI All Country World Index (the Benchmark) return of -0.60%. The Strategy has delivered returns in excess of the Benchmark over one, three and 10 years, and since inception.
Strategy Update
In US Dollar terms, global equities recorded a marginal gain in December 2025 to close out another double-digit calendar year percentage return. Positive influences on markets during the month included the ending of the US government shutdown and a 25-basis point interest rate cut by the US Federal Reserve. Offsetting this, however, was a cloudy outlook for US interest rates as the minutes from the Federal Reserve’s December meeting revealed sharply divergent views from policy makers. Some officials favoured no change to rates at all in December while others argued for an even larger reduction than 25 basis points. At a regional level, European and emerging markets led the way, while weakness in the so-called ‘Magnificent 7’ stocks weighed on the returns of US equities.
From a sector-based perspective, the best market performers included Materials and Financials, with the laggard being Information Technology. Consistent with this relative sector performance was the outperformance of value versus growth.
At a portfolio level, stock selection contributed positively to relative performance in December. The strongest sectors in this regard were Information Technology and Industrials. Sectors where stock selection detracted from performance included Communication Services and Financials. From a sector allocation perspective, the zero exposure to both Consumer Staples and Utilities was the largest contributor versus the market, followed by the above benchmark position in Materials. Conversely, the overweight exposure to Health Care and underweight to Financials detracted from the portfolio’s relative returns.
There were three new additions to the portfolio in the December quarter: health care companies Cardinal Health and Medline and US based senior housing real estate owner Welltower. With over 1,100 mostly private pay facilities, Welltower is the largest owner of senior housing real estate in the US. The company works with top operators through profit-sharing agreements. Under this partnership structure, Welltower shares directly the operational income and expenses of a housing facility, rather than just collecting a fixed rent as the property owner. With demand for such facilities rising as the population of people aged over 80 grows, and limited new supply, Welltower has a significant competitive advantage (economic moat). This competitive advantage is strengthening as the company uses its size and proprietary artificial intelligence data and analytics platform to capitalise on this demand and supply mismatch.
Looking ahead in 2026 and beyond, the Strategy remains aligned with its long-term philosophy of favouring competitively advantaged firms that can generate value through effective corporate cultures and enduring business models. In addition, the Strategy is actively managed to capitalise on resilient trends and long-term growth tailwinds.
Notes: 1. WQG, WCMQ and WCM Quality Global Growth Fund (Managed Fund) have the same Portfolio Managers and investment team, the same investment principles, philosophy, strategy and execution of approach as those used for the WCM Quality Global Growth Strategy however, it should be noted that due to certain factors including, but not limited to, differences in cash flows, management and performance fees, expenses, performance calculation methods, and portfolio sizes and composition, there may be variances between the investment returns demonstrated by each of these portfolios and the WCM Quality Global Growth Strategy Composite (the Composite) in the future. As WQG, WCMQ and WCM Quality Global Growth Fund (Managed Fund) have only been in operation for a relatively short period of time, this table makes reference to the Composite to provide a better understanding of how the team has managed this strategy over a longer period. Performance is net of fees and includes the reinvestment of dividends and income. 2. Composite inception date is 31 March 2008. 3. Benchmark refers to the MSCI All Country World Index (with gross dividends reinvested reported in Australian Dollars and unhedged). 4. Value Added equals Composite Performance minus Benchmark performance. 5. Annualised.
DISCLAIMER: AGP Investment Management Limited (AGP IM) (ABN 26 123 611 978, AFSL 312247) is a wholly owned subsidiary of Associate Global Partners Limited (AGP) (ABN 56 080 277 998), a financial institution listed on the ASX (APL). AGP IM has prepared this material for general information purposes only for WCM Global Growth Limited, a listed investment company (ASX: WQG).
AGP IM is the responsible entity for WCM Quality Global Growth Fund - Active ETF (ARSN 625 955 240) (ASX: WCMQ) and WCM Quality Global Growth Fund (Managed Fund) (ARSN 630 062 047).
AGP International Management Pty Ltd (AIML) (ABN 33 617 319 123) is the investment manager for WQG and is an authorised representative of AGP IM. WCM Investment Management, LLC (WCM) is the underlying manager and applies its WCM Quality Global Growth Equity Strategy (the Strategy), excluding Australia, in managing each of WQG, WCMQ and WCM Quality Global Growth Fund (Managed Fund)(the Funds). WCM Investment Management, LLC is exempt from the requirement to hold an Australian Financial Services License under ASIC Corporations (Repeal and Transitional) Instrument 2016/396 and is regulated by the U.S. Securities and Exchange Commission under U.S. law, which differs from Australian law. WQG and AIML are part of the AGP Group.
Any references to ‘We’, ‘Our’, ‘Us’, or the ‘Team’ used in the context of the portfolio commentary, is in reference to WCM Investment Management, as investment manager for the Strategy or AIML as investment manager for WQG.
Even though the Strategy, excluding Australia, is applied to each of WQG, WCMQ and WCM Quality Global Growth Fund (Managed Fund) certain factors including, but not limited to, differences in cash flows, fees, expenses, performance calculation methods, portfolio sizes and composition may result in variances between the investment returns for each portfolio. The performance of the Strategy is not the performance of the portfolios and is not an indication of how WQG, WCMQ and WCM Quality Global Growth Fund (Managed Fund) would have performed in the past or will perform in the future.
The material should not be viewed as a solicitation or offer of advice or services by WCM, AGP or AGP IM. It does not contain investment recommendations nor provide investment advice. It does not take into account the objectives, financial situation or needs of any particular individual. Investors should, before acting on this material, consider the appropriateness of the material.
Neither AGP IM, AGP, their related bodies corporate, entities, directors or officers guarantees the performance of, or the timing or amount of repayment of capital or income invested in the Funds or that the Funds will achieve its investment objectives. Past performance is not indicative of future performance.
Any economic or market forecasts are not guaranteed. Any references to particular securities or sectors are for illustrative purposes only and are as at the date of publication of this material. This is not a recommendation in relation to any named securities or sectors and no warranty or guarantee is provided that the positions will remain within the portfolio of the funds. Any securities identified and described are for illustrative purposes only and do not represent all of the securities purchased, sold or recommended for client accounts. The reader should not assume that an investment in the securities identified was or will be profitable.
Investors should seek professional investment, financial or other advice to assist the investor determine the individual tolerance to risk and needs to attain a particular return on investment. In no way should the investor rely on information contained in this material.
Investors should read the Product Disclosure Statements (PDS) of the Funds or any relevant offer document in full before making a decision to invest in these products.
