# Nomura International Core Equity Fund Posts Q2 2026 Results
Nomura International Core Equity Fund delivered mixed performance in the second quarter of 2026, reflecting divergent regional strength across developed markets and evolving investor sentiment toward global equities.
The fund tracks exposure to large-cap companies across North America, Europe, and Asia-Pacific. Q2 results show the portfolio navigated volatile macro conditions, including shifting interest rate expectations and earnings revisions across sectors.
North American equities drove outperformance during the quarter, benefiting from resilient corporate earnings and technology sector strength. The S&P 500 component of the fund's holdings advanced, with particular gains in software and cloud infrastructure names. By contrast, European holdings lagged broader indices, pressured by economic growth concerns and the European Central Bank's policy trajectory.
Asia-Pacific equities showed selective strength. Japanese equities rebounded on yen weakness and accommodative monetary policy, while Chinese large-cap exposure faced headwinds from domestic consumption data and regulatory scrutiny of tech platforms. South Korean and Australian holdings provided diversification benefits.
Portfolio positioning shifted during Q2 as managers reduced overweight positions in rate-sensitive sectors. The fund increased allocations to defensive dividend payers and companies with pricing power, positioning for potential stagflation scenarios. Currency hedging activity increased across sterling and euro exposures.
Sector rotation favored financials and industrials over consumer discretionary. Banking stocks benefited from the steeper yield curve in multiple regions, though energy sector underperformance offset some gains. Healthcare holdings provided stability, with dividend-paying pharma names delivering consistent returns.
Looking ahead, the fund faces headwinds from potential recession signals in multiple economies and elevated geopolitical risk premiums. Managers expect continued currency volatility and will maintain tactical flexibility in country weightings.
The Nomura International Core Equity