Dear Shareholder,
I am very pleased to share the Artisan Value Income Fund’s review of the first quarter of 2024.
The first quarter of 2024 was another challenging one for investors, as the S&P 500 Index declined by 8.8%.** The Fund outperformed the benchmark during the period, returning -6.20% net of fees.**
The Fund’s outperformance was primarily due to its exposure to value stocks. Value stocks are those that trade at a discount to their intrinsic value. They tend to outperform during periods of market turbulence, as investors seek out companies that are trading at a discount.
The Fund also benefited from its exposure to dividend-paying stocks. Dividend-paying stocks tend to be less volatile than non-dividend-paying stocks, and they can provide investors with a source of income during periods of market downturns.
The portfolio management team is optimistic about the Fund’s long-term prospects. The team believes that the Fund’s focus on value and dividend-paying stocks will continue to generate positive returns for investors over the long term.
Outlook
The portfolio management team believes that the market will continue to be volatile in the near term. However, the team is confident that the Fund’s holdings are well-positioned to weather the storm. The team will continue to focus on identifying and investing in companies that are trading at a discount to their intrinsic value and that have strong dividend yields.
Top Contributors and Detractors
The top contributors to the Fund’s performance during the quarter were:
* Exxon Mobil Corporation (XOM)
* Chevron Corporation (CVX)
* Merck & Co., Inc. (MRK)
The top detractors from the Fund’s performance during the quarter were:
* Tesla, Inc. (TSLA)
* Amazon.com, Inc. (AMZN)
* Meta Platforms, Inc. (META)
Fund Performance
The following table shows the Fund’s performance for the first quarter of 2024, as well as its performance since inception.
| Period | NAV Return** | Investor Class Return** |
|—|—|—|
| First Quarter 2024 | -6.20% | -6.20% |
| Since Inception (06/20/2023) | 5.04% | 4.91% |
Conclusion
The portfolio management team is confident in the Fund’s long-term prospects. The team believes that the Fund’s focus on value and dividend-paying stocks will continue to generate positive returns for investors over the long term.
Kind regards,
S. Sing
