Meriti Neutral monthly report – June 2025

Meriti Neutral share class B rose in value by +0.14 percent during June. The fund has thus generated positive returns during all months of the year and the year's increase totals +4.93 percent. Since the strategy's inception pro forma 2010-06-30, it has returned +220.2 percent, while the correlation to the Swedish stock market has been 0.11.
The second quarter of the year was marked by significant uncertainty and volatility in financial markets as investors grappled with uncertainty surrounding trade tariffs and the war in the Middle East. Investors’ worst fears ultimately proved unfounded, and in the absence of any clear weakening in hard data, most major asset classes delivered positive returns during the quarter. Reduced volatility also contributes to increased capital flows and a generally improved sentiment.

According to data from LSEG, the estimated earnings growth for companies in the STOXX600 Index for the second quarter of this year is 0.6 percent. Four of the index's ten sectors are expected to report rising earnings compared to the second quarter of 2024. Technology has the highest
expected profit growth, while Consumer Cyclicals has the weakest.

During the month, the fund has net bought companies within Automobiles & Components, Pharmaceuticals, Biotechnology & Life Sciences and Consumer Durables & Apparel at sector level. Correspondingly, the fund has net sold companies within Technology Hardware &
Equipment, Media and Materials. As at the end of last month, the fund's largest net positive positions at the end of June were in the Banks, Retailing and Telecommunication Services sectors, and the largest negative sector exposures were Semiconductors & Semiconductor Equipment,
Diversified Financials and Automobiles & Components.

The fund's Value-at-Risk (95%, 1 day) has averaged 0.55 percent during the month and the exposure to the stock market, the fund's estimated beta to global equities,
has averaged 0.07. At the end of the month, the fund had a total gross exposure to equities of 172 percent, consisting of 194 bought (long) equity positions balanced by 219 sold (short) equity positions. The size of the long positions averaged 0.51 percent and the short positions averaged -0.33 percent.