Pear Tree Polaris International Opportunities Fund

The PEAR TREE POLARIS INTERNATIONAL OPPORTUNITIES FUND provides investors with the opportunity to participate in the growth potential of companies predominantly located in developed foreign countries.

Investment Process

The Fund will generally own approximately 75 stocks of non-U.S. companies located in Europe, Australia and the Far East. In addition, the Fund may also invest in companies located in emerging markets. The diversification within the Fund, coupled with the fact that the operation of the Fund’s investment model will generally lead the Fund to be invested in 15 or more foreign markets, reduces the likelihood that negative performance of a single country will significantly impact the Fund's return.

Buy and Sell Discipline

The investment process for the Fund combines both quantitative and fundamental techniques. The Fund's approach is primarily “bottom up,” searching for individual stocks with strong, undervalued cash flows, regardless of location or industry. The Fund uses proprietary models to rank countries and industries on the basis of value and to narrow a universe of over 40,000 companies down to 400 to 600 for further consideration. The Fund supplements the screening process by performing in-depth financial and fundamental analysis.

Portfolio Management

The Fund is managed by Polaris Capital Management, LLC, a Boston, Massachusetts money manager that specializes in the management of global, international, and domestic equity portfolios. Polaris brings over 35 years of investment experience to the Fund.

Fund Overview

YTD RETURN*
-18.58%

NAV*
$11.09

INCEPTION
January 30, 2019

MINIMUM INVESTMENT
$1,000,000

CUSIP
70472Q740

BENCHMARK
MSCI ACWI ex US

NET EXPENSE RATIO(1)
1.25%

GROSS EXPENSE RATIO(2)
1.37%

 

*as of 5/13/2022

Investment Professionals

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Sub-Advisor

Polaris Capital Management, LLC

Polaris is a leading global value equity manager, serving the investment needs of institutions and individuals since 1995. At Polaris Capital Management, we have a disciplined approach to investing in undervalued companies around the world, regardless of country, industry or market capitalization.

Portfolio Managers

Bernard R. Horn, Jr.
Sumanta Biswas, CFA
Bin Xiao, CFA
Jason Crawshaw

Performance

YTD
As Of 5/13/2022
Quarterly
As Of 3/31/2022
1 Year
As Of 3/31/2022
3 Years
As Of 3/31/2022
5 Years
As Of 3/31/2022
10 Years
As Of 3/31/2022
Since Inception As Of
3/31/2022
Total Gross Expense Ratio(1) Total Net Expense Ratio(2)
-18.58% -5.80% 2.37% 11.11% N/A N/A 12.57% 1.37% 1.25%

Calendar Year

2021 2020 2019 2018 2017 2016 2015 2014 2013 2012 2011
13.43% 13.71% N/A N/A N/A N/A N/A N/A N/A N/A N/A

Portfolio

as of March 31, 2022

Top Ten Holdings

Percentage Of Total Net Assets 24.50%
SINBON Electronics Co., Ltd. 4.70%
Muangthai Capital Public Company Limited 2.40%
D'Ieteren S.A. 2.40%
De'Longhi SpA 2.30%
Alimentation Couche-Tard Inc. 2.20%
Bravida Holding AB 2.20%
Equatorial Energia S.A. 2.20%
FirstRand Limited 2.10%
VIB Vermögen AG 2.00%
Interpump Group S.p.A. 2.00%

Sector Weightings

Percentage Of Total Net Assets 100.0%
Financials 21.1
Consumer Discretionary 19.4
Materials 18.7
Industrials 10.6
Communication Services 9.1
Information Technology 8.1
Health Care 4.6
Consumer Staples 2.2
Real Estate 1.5
Cash and Other Assets (Net) 4.7

Top Ten Country Allocations

Percentage Of Total Net Assets 66.10%
Taiwan 14.70%
Japan 7.10%
United Kingdom 7.10%
Canada 6.90%
Australia 5.70%
China 5.60%
Italy 5.20%
France 4.90%
Sweden 4.90%
Thailand 4.00%

Portfolio Characteristics

Net Assets $25,937,395
Number Of Holdings 65
Percentage in Top 10 Holdings 24.50%
Weighted Average Market Cap (Mil) $19,474.98
Annual Turnover 55.00%

Portfolio Allocation

Percentage of Portfolio 100.0%
Equity Securities 97.00%%
Cash and Other Assets (Net) 3.00%%

FOR THE QUARTER ENDED MARCH 31, 2022

The Pear Tree Polaris International Opportunities Fund’s Ordinary Shares (the “Fund”) underperformed its benchmark, the MSCI ACWI ex USA Index (the “Index”). The Fund had a return of (6.00%) at net asset value compared to (5.33%) for the Index.

Market Conditions and Investment Strategies

Although the Fund outperformed in six of nine sectors, results were lackluster due to underexposure in the heated commodity
markets and overweight in the Information Technology (IT) and Consumer Discretionary sectors, which suffered double-digit
declines for the quarter. Defensives did generally better, with Utilities and Consumer Staples in positive territory. Developing
markets (South Africa, Brazil, Mexico, Peru, Indonesia to name a few) produced strong gains this quarter, offset by lackluster
results in Europe and Scandinavian regions.

Brazilian multi-utility company, Equatorial Energia, was the top contributor to the Fund’s performance. Equatorial announced
strong fourth quarter 2021 results, with growth in volumes of distributed energy in select regions. In February 2022, the
company raised $532 million in an oversubscribed share offering, which financed the acquisition of renewable energy generator,
Echoenergia.

Financials added to gains, with robust results from a number of developing country banks including FirstRand (South Africa),
Credicorp (Peru), Bank Rakyat Indonesia and Public Bank Berhad (Malaysia). Developed markets spent much more liberally to
ward off pandemic effects, adding significantly more debt than developing-market governments. As a result, developing-market
central banks may respond nimbly post-pandemic, benefitting from a healthier debt outlook and improvement in account and
fiscal balances. Higher global interest rates are not expected to dramatically impinge these economies, unlike the impact to the
U.S.

Industrials rose on the back of BizLink Holding, a Taiwanese electronics component supplier, and three Mexican airports that saw
an influx of tourism as pandemic restrictions eased. BizLink announced stable fourth quarter 2021 earnings, and closed on its
deal for Leoni’s Industrial Solutions in January 2022. Through this acquisition, BizLink increases its footprint in Europe and in
the industrial product industry.

In a reversal from last quarter, IT companies Sinbon Electronics and Yageo Corp. declined, as both build components for a
consumer electronics; concerns arose about consumer demand in a higher inflationary climate. German real estate company,
VIB Vermoegen, dropped when an activist investor finished a tender offer to own 60% of the company; the CEO and CFO resigned
due to loss of control.

Portfolio Changes

The Fund sold out of nine stocks during the quarter, favoring companies with better expected upside potential. To that end,
cash was redeployed to purchase a wide array of companies across geography and sector including: Alimentation Couche-Tard,
Sparebanken Vest, Hansen Technologies, Tripod Technology, Open House Group, Accent Group and De’Longhi SPA. Elite Material
was sold at a premium at the end of 2021; the company was subsequently repurchased this quarter when the stock price
dropped into target territory.

Outlook

Faced with geopolitical upheaval, a protracted Russia-Ukraine conflict and circulating COVID-19 strains, worldwide economic
volatility is inevitable. We are continuing to assess portfolio stocks in the context of these macroeconomic conditions, keenly
aware of souring consumer confidence. As evidenced by our portfolio turnover this quarter, we are actively seeking attractivelypriced
stocks with good growth prospects and lesser downside risk, which may lead to better performance in coming quarters.

Distributions

Dividend Short-Term Capital Gain Long-Term Capital Gain
2021 $0.1917 $1.0176 $0.4147
2020 $0.0000 $0.0913 $0.0000
2019 $0.0026 $0.0328 $0.0000

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than performance data quoted. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than original cost.

Before investing, carefully consider the Fund's investment objectives, risks, charges and expenses. For this and other information obtain the Fund's prospectus or, if available, the Fund's summary prospectus by calling (800) 326-2151 or by clicking the Literature and Forms section of this website to view or download a prospectus or, if available, a summary prospectus. Please read the prospectus carefully before you invest or send money.

1, 3, 5, and 10Yr performance numbers quoted are average annual total returns. Performance numbers quoted under one year are cumulative.

Polaris Capital began subadvising the Pear Tree Small Cap Fund on January 1, 2015.

Axiom International Investors began subadvising the Pear Tree Axiom Emerging Markets World Equity Fund December 8, 2018.

The Pear Tree Essex Environment Opportunities Fund (the “Fund”) is the successor to the investment performance of the Essex Environmental Opportunities Fund (“Predecessor Fund”) as a result of the reorganization of the Predecessor Fund into the Environmental Opportunities Fund on September 1, 2021. Performance information shown prior to the close of business on August 31, 2021 is that of the Predecessor Fund’s for the Fund’s Ordinary Shares and Institutional Shares.

Expense Ratios Disclosure

1. Expense Ratio (Gross)
The gross expense ratio is the total operating expense from the class of shares of the fund stated as a percent of the fund's total net assets as disclosed in the fund’s most recent prospectus before waivers or reimbursements.

2. Expense Ratio (Net)
Net Expense Ratio is the total annual operating expense from the class of shares of the funds stated as a percent of the fund's total net assets as disclosed in the fund’s most recent prospectus after any fee waiver and/or expense reimbursements that will reduce any fund operating expenses until July 31, 2022 for all funds and share classes except Pear Tree Essex Environmental Opportunities Fund. Fee waivers and/or expense reimbursement for Pear Tree Essex Environmental Opportunities Fund and its share classes are in effect through August 31, 2022.

Risk Disclosure

Pear Tree Polaris Foreign Value
Pear Tree Polaris Foreign Value Small Cap
Pear Tree Polaris International Opportunities
Pear Tree Polaris Small Cap
Pear Tree Axiom Emerging Markets World Equity
Pear Tree Essex Environmental Opportunities

Foreign and Emerging Market Risk. Foreign markets, particularly emerging markets, can be more volatile than the U.S. market due to increased risks of adverse issuer, political, regulatory, market, or economic developments and can perform differently from the U.S. market. Emerging markets can be subject to greater social, economic, regulatory, and political uncertainties and can be extremely volatile.

Small Cap Investing. The value of securities of smaller, less well-known issuers can perform differently from the market as a whole and other types of stocks and can be more volatile than that of larger issuers.