PERFORMANCE REVIEW for the month ended 31 May 2017

Emerging markets equities rose in May 2017. The asset class continued to garner inflows, as supportive monetary conditions and optimism for economic growth overcame geopolitical risks, including discord in Brazil and the Middle East. The MSCI Emerging Markets Index (“Index”), led by Asia, returned 2.5% in local currency terms for the month. US dollar weakness versus major emerging markets currencies provided US dollar-based investors an additional boost. The best performing sectors were real estate, consumer discretionary, and information technology. The energy, utilities, and materials sectors lagged. Greece, Hungary, and South Korea posted the biggest gains, and Russia, Brazil, and Qatar the greatest declines. Brazil, the largest market of these underperformers, suffered significant declines in its equity and currency markets as the corruption probe known as Lava Jato (“Car Wash”) entered a new chapter. A corporate executive recorded Brazil’s current president, Michel Temer, allegedly approving a “hush money” bribe to jailed former House speaker Eduardo Cunha. The recording triggered calls for Temer’s removal from office.

Causeway Emerging Markets Fund (“Fund”) underperformed the Index for the month of May. We use both bottom-up and top-down factors to forecast alpha (return in excess of the Index) for the stocks in the Fund’s investable universe. Of our bottom-up factors, earnings growth was the top performer, followed by valuation. The technical, or price momentum, factor returns were negative for the period. May’s bottom-up factor performance is consistent with a longer -term trend of investors rotating in and out of stocks in search of earnings growth. Our top-down factor performance was generally positive. Our country factors delivered the strongest returns, followed by our macroeconomic and currency factors. The sell-off in Brazil’s financial markets in May boosted performance of all three of these factor groups. Our sector factor returns were negative for the period, due in part to the underperformance of the energy sector and the outperformance of the consumer discretionary sector.

The largest country-level detractors from the Fund’s relative performance versus the Index were the Fund’s positions in India, South Korea, and Brazil. Fund positions in China, Turkey and Taiwan contributed to relative performance. The Fund’s sector exposure to the consumer staples, financials, and industrials sectors detracted from relative performance, partially offset by contributions from the materials, information technology and telecommunication services sectors. The greatest stock-level detractors from Fund performance versus the Index were overweight positions in electric power company, Reliance Infrastructure Limited (India), financial services provider, Banco do Brasil S.A. (Brazil), and financial services firm, Sberbank Russia OJSC (Russia). The top stock-level contributors to relative performance were overweight positions in plastics & textile-related products distributor, Sintex Industries Limited (India) and financial products & services company, Ping An Insurance (Group) Company of China, Ltd., and a zero-weight position in bank, Banco Bradesco S.A. (Brazil).

The market commentary expresses the portfolio managers’ views as of the date of this report and should not be relied on as research or investment advice regarding any stock. These views and the Fund holdings and characteristics are subject to change. There is no guarantee that any forecasts made will come to pass. Any securities identified and described in this report 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. Diversification does not protect against market loss.