Emerging Markets Growth - Quarterly Call Update June 30, 2021 - Sands Capital
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Emerging Markets Growth Quarterly Call Update June 30, 2021
We are active, long-term investors in leading
innovative growth businesses, globally.
All-IN CULTURE INSIGHT-DRIVEN YEAR FOUNDED
1992
We are one team dedicated to one mission and one Businesses that can build a sustainable
philosophy. As a fully independent and advantage are few and far between. To seek OWNERSHIP
staff-owned firm, we attract and retain strong talent, them, we apply six criteria to separate signal
Independent
focus on long-term outcomes, and are highly aligned from noise, identify what matters most, and
100% Staff Owned
with our clients’ interests. construct differentiated views on tomorrow’s
businesses, today. AUM
$77.6B
STAFF
GLOBAL PERSPECTIVE WITH HIGH CONVICTION
LOCAL UNDERSTANDING FOR HIGH IMPACT 162
Innovation-driven growth knows no geographic All our strategies concentrate investments in HEADQUARTERS
boundaries. Neither does our research team. We are only our best ideas and avoid mediocrity. With Arlington, VA, USA
hands on, on-the-ground, deeply immersed the intent to own businesses for five years or
in the ecosystems in which our businesses operate. longer, we seek to create value for clients
through the compounding of business growth
over time.
All data is as of 6/30/2021.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · D137 2
What We Do
With a singular focus on growth investing, we offer clients
strategies that actively target leading public and private
businesses across the growth spectrum.
GLOBAL LEADERS
30-50 public businesses
Global opportunity set
$3.9B AUM
SELECT GROWTH GLOBAL GROWTH
25-30 public businesses 30-50 public businesses
Primarily U.S.-focused Global opportunity set
$25.3B AUM $30.5B AUM
EMERGING MARKETS INTERNATIONAL GROWTH
30-50 public businesses 25-40 public businesses
Emerging and frontier markets International opportunity set
$15.2B AUM $107.6M AUM
PRIVATE GROWTH EQUITY TECHNOLOGY INNOVATORS FOCUS STRATEGIES
Global Private Growth Fund I - Fully invested 25-35 public businesses 5-20 public businesses
Global Innovation I - Investing Global opportunity set Global opportunity set
Global Innovation II - Investing $1.1B AUM $1.5B AUM
VENTURE CAPITAL
Life Sciences Pulse I - Investing
Global Venture Fund I - Fully invested Life Sciences Pulse II - Investing
Global Venture Fund II - Investing
Global Venture Fund III - Investing
All data is as of 6/30/2021. The above figures represent total Assets Under Management for each public investment strategy listed. The Venture Capital and Growth Equity investment strategies are managed by Sands Capital Ventures,
LLC, an affiliate of Sands Capital Management, LLC, and are only available to qualified investors. GIPS® Reports and additional disclosures for the related composites may be found at
http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. References to “Sands Capital”, the “firm”, “we” or “our” are references to Sands Capital Management and its affiliates,
collectively, including Sands Capital Ventures, LLC (“Sands Capital Ventures”), which is a registered investment adviser that provides private market investment strategies, including its Private Growth Strategy to its clients. Sands
Capital Management seeks to adhere to the Global Investment Performance Standards (GIPS®) when reporting its investment performance results; however, Sands Capital Ventures does not.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · D137 3
Investment Strategy & Results
Net Results (%) as of June 30, 2021
ANNUALIZED %
INCEPTION STRATEGY SINCE
DATE ASSETS 2Q21 1 YEAR 3 YEAR 5 YEAR 10 YEAR INCEPTION
Select Growth 2/29/1992 $25.3B 10.9 47.4 29.6 29.7 20.1 14.1
Russell 1000 Growth Index 11.9 42.5 25.1 23.7 17.9 10.7
Value Added (bps) -100 490 450 600 220 340
Global Growth 12/31/2008 $30.5B 10.7 41.9 24.2 24.5 15.9 21.2
MSCI All Country World Index 7.4 39.3 14.6 14.6 9.9 11.9
Value Added (bps) 330 260 960 990 600 930
Emerging Markets Growth 12/31/2012 $15.2B 8.6 53.5 21.5 19.8 - 12.9
MSCI Emerging Markets Index 5.0 40.9 11.3 13.0 - 5.6
Value Added (bps) 360 1,260 1,020 680 - 730
Global Leaders 3/31/2017 $3.9B 9.4 34.8 20.5 - - 21.6
MSCI All Country World Index 7.4 39.3 14.6 - - 13.9
Value Added (bps) 200 -450 590 - - 770
International Growth 3/31/2018 $107.6M 10.3 47.7 32.1 - - 30.2
MSCI All Country World Index ex US 5.5 35.7 9.4 - - 7.7
Value Added (bps) 480 1,200 2,270 - - 2,250
Technology Innovators 12/31/2010 $1.1B 12.2 51.9 37.1 36.8 24.0 23.5
MSCI ACWI Info Tech and Communication Services Index 9.8 44.8 24.5 27.0 18.5 17.6
Value Added (bps) 240 710 1,260 980 550 590
The investment results shown are net of advisory fees and reflect the reinvestment of dividends and any other earnings. Investment results presented are that of the Tax-Exempt Institutional Equity Composite, Global Growth Equity
Composite, Global Leaders Equity Composite, Emerging Markets Growth Composite, International Growth Equity Composite and Technology Innovators Equity Composite. GIPS® Reports and additional disclosures for the related
composites may be found at http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Past performance is not indicative of future results.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · D137 4
Global Research Team
RE S E ARCH ANALYSTS PORT FOLIO MANAGE RS
SELECT GROWTH GLOBAL GROWTH
Frank Sands, CFA 2000* Brian Christiansen, CFA 2006
Sr. Portfolio Manager Sr. Portfolio Manager
CONSUMER LIFE S C IE NC E S
Wesley Johnston, CFA 2004 David Levanson, CFA 2002*
Christina Hang 2018 Daniel Cheng 2013 Sr. Portfolio Manager Sr. Portfolio Manager
Massi m o Marolo, CFA 2018 Michael Gi nder, CFA 2011
Michael Sramek, CFA 2001 Perry Williams, CFA 2004
Matthew Luneburg, CFA 2006 J enni fer Go ldsmith, CFA 2013 Sr. Portfolio Manager Sr. Portfolio Manager
K atherine Okon 2012*
T E C H NO L O GY Thomas Trentman, CFA 2005
Kumar Gautam 2020* Sr. Portfolio Manager
GLOBAL LEADERS
Judy Jiao, CFA 2015
Barron Marti n, Jr., CFA 2008 Sunil Thakor, CFA 2004
EMERGING MARKETS GROWTH Sr. Portfolio Manager
Daniel Pi l l ing 2018
Tho m as Rogers, CFA 2014 Brian Christiansen, CFA 2006 Michael Raab, CFA 2007
Sr. Portfolio Manager Portfolio Manager
INDUS T R IAL S Ashraf Haque 2008
F INANC IAL S
Eric Black 2013 Sr. Portfolio Manager
Teeja Boye, CFA 2014 INTERNATIONAL GROWTH
Brian Keegan, CFA 2011 Neil Kansari 2008
Jason Harden, CFA 2012 Sr. Portfolio Manager Ashraf Haque 2004
Dani el le Menichel la, CFA 2013
Sr. Portfolio Manager
Sunil Thakor, CFA 2008
FOCUS STRATEGIES Sr. Portfolio Manager
S T E WAR DS H IP
Michael Sramek, CFA 2001
Brian Christiansen, CFA, Director of Stewardship
Sr. Portfolio Manager
K ari n Riechenberg, Sr. ESG Analyst GLOBAL INNOVATION
Michael Clarke 2011
Depth TECHNOLOGY INNOVATORS Managing Partner
We know our businesses. With approximately 138 aggregate portfolio businesses and 47 Thomas Trentman, CFA 2005 Barron Martin, CFA 2008
investment professionals, our people dig deep for insights. Intimate knowledge of a small Sr. Portfolio Manager Managing Partner
number of companies is more valuable than superficial knowledge of many companies.
Emerson Bluhm, CFA 2010
Focus Portfolio Manager
We’ve developed substantial domain knowledge in business spaces where innovation and VENTURE/PRIVATE GROWTH
Michael Clarke 2011
industry transformation are rampant. Domain experience enables us to recognize patterns, Ian Ratcliffe 2016
identify analogues, and understand business models and ecosystems. Portfolio Manager
Managing Partner
Collaboration Michael Graninger 2018
All PM’s are analysts first. Together, they are integrally involved in every step of the research LIFE SCIENCES PULSE Partner
process. Our organization is intentionally designed to encourage analysts to work in sectors, Stephen Zachary, PhD 2016
not within silos, reflecting the interconnected webs in which our businesses operate. Managing Partner
All data is as of 6/30/2021. * Denotes year that staff member had re-joined Sands Capital. The Venture/Private Growth, Life Sciences Pulse, and Global Innovation investment strategies are managed by Sands Capital Ventures, LLC, an
affiliate of Sands Capital Management, LLC, and are only available to qualified investors. References to “Sands Capital”, the “firm”, “we” or “our” are references to Sands Capital Management and its affiliates, collectively, including Sands
Capital Ventures, LLC (“Sands Capital Ventures”), which is a registered investment adviser that provides private market investment strategies, including its Private Growth Strategy to its clients.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · D137 5
Power of Long-term Compounding
Emerging Markets Growth vs. MSCI Emerging Markets Index
Net Results for Period Ending June 30, 2021
Annualized Since Cumulative Since
Inception 1 Inception 1
Portfolio 12.9 180.2
Benchmark 5.6 59.1
200
150
100
50
0
-50
'13 '14 '15 '16 '17 '18 '19 '20 '21
1Inception date is 12/31/2012. The investment results shown are net of advisory fees and reflect the reinvestment of dividends and any other earnings. The investment results are that of the Emerging Markets Growth Composite. GIPS®
Reports and additional disclosures for the related composites may be found at http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Past performance is not indicative of
future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · D137 6
Rolling Investment Results
Emerging Markets Growth vs. MSCI Emerging Markets Index
Net Results (%) as of June 30, 2021
Rolling 7 Years Rolling 5 Years
50 50
40 40
Net Composite Returns (%)
Net Composite Returns (%)
30 30
20 20
10 10
0 % of Outperforming Periods: 100% 0 % of Outperforming Periods: 100%
Average Annlzd Excess Return: 5.9% Average Annlzd Excess Return: 4.0%
-10 -10
-10 0 10 20 30 40 50 -10 0 10 20 30 40 50
Benchmark Returns (%) Benchmark Returns (%)
Rolling 3 Years
50
40
Net Composite Returns (%)
30
20
10
0 % of Outperforming Periods: 88%
Average Annlzd Excess Return: 4.3%
-10
-10 0 10 20 30 40 50
Benchmark Returns (%)
Average annualized excess returns are calculated based on monthly rolling periods beginning 12/31/2012 (composite inception date). The investment results shown are net of advisory fees and reflect the reinvestment of dividends and
any other earnings. Investment results are that of the Emerging Markets Growth Composite. GIPS® Reports and additional disclosures for the related composites may be found at
http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Past performance is not indicative of future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · D137 7
Annualized Investment Results
Emerging Markets Growth vs. MSCI Emerging Markets Index
Net Results (%) as of June 30, 2021
Portfolio Benchmark
53.5
40.9
21.5
19.8
13.0 12.9
11.3
8.6 7.4
5.0 6.1 5.6
QTD YTD 1 Year 3 Years 5 Years Since Inception
Inception date is 12/31/2012. Periods greater than one year are annualized. The investment results shown are net of advisory fees and reflect the reinvestment of dividends and any other earnings. The investment results are that of the
Emerging Markets Growth Composite. GIPS® Reports and additional disclosures for the related composites may be found at http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this
presentation. Past performance is not indicative of future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · D137 8
Yearly & Cumulative Investment Results
Emerging Markets Growth vs. MSCI Emerging Markets Index
Net Results (%) as of June 30, 2021
RELATIVE VALUE CUMULATIVE VALUE
PORTFOLIO BENCHMARK ADDED (BPS) ADDED (BPS)
2013 12.6 -2.6 1,520 1,520
2014 5.7 -2.2 790 2,380
2015 -8.9 -14.9 600 2,740
2016 2.5 11.2 -870 2,110
2017 39.1 37.3 180 3,100
2018 -14 -14.6 60 2,740
2019 28.2 18.4 980 4,540
2020 54.8 18.3 3,650 11,600
2021 6.1 7.4 -130 12,110
1Q -2.4 2.3 -470 10,640
2Q 8.6 5.0 360 12,110
Cumulative Since Inception (12/31/12 - 6/30/21) 180.2 59.1 12,110
Annualized Since Inception 12.9 5.6 730
Inception date is 12/31/2012. The investment results shown are net of advisory fees and reflect the reinvestment of dividends and any other earnings. The investment results are that of the Emerging Markets Growth Composite. GIPS®
Reports and additional disclosures for the related composites may be found at http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Past performance is not indicative of
future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · D137 9
Yearly Investment Results
Emerging Markets Growth vs. MSCI Emerging Markets Index
Net Results (%) as of June 30, 2021
Portfolio (%)
Benchmark
Value Added (bps)
60%
50%
40%
30%
20%
10%
0%
-10%
-20%
3,650
1,520
790 980
600
180 60
-130
-870
2013 2014 2015 2016 2017 2018 2019 2020 2021
Inception date is 12/31/2012. Periods greater than one year are annualized. The investment results shown are net of advisory fees and reflect the reinvestment of dividends and any other earnings. The investment results are that of the
Emerging Markets Growth Composite. GIPS® Reports and additional disclosures for the related composites may be found at http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this
presentation. Past performance is not indicative of future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · D137 10Emerging Markets Growth Portfolio Profile Summary
Emerging Markets Growth vs. MSCI Emerging Markets Index
As of June 30, 2021
COMPOSITION PORTFOLIO BENCHMARK REGION EXPOSURE (%) PORTFOLIO BENCHMARK ACTIVE WEIGHT
Number of Holdings 39 1,412 Emerging Asia 56.3 52.0 4.3
Assets $12.0B n/a Asia/Pacific Ex Japan 17.7 27.2 -9.5
Benchmark Holdings 55% n/a Latin America 15.2 7.8 7.4
Active Share 80% n/a Europe 7.1 4.7
2.4
Trailing 12 mos. Turnover 14% n/a Mid-East & Africa 2.1 8.3
-6.2
[Cash] 1.7 –
1.7
CHARACTERISTICS PORTFOLIO BENCHMARK
SCM Long-Term EPS Growth Estimate 51% n/a
Consensus Long-Term EPS Growth Estimate 26% 19%
Weighted Avg. Market Cap $167.7B $165.7B
Median Market Cap $20.6B $7.8B
Consensus Forward P/E - Next 12 mos. 37x 13x
Dividend Yield 0.3% 1.8%
SECTOR EXPOSURE (%) PORTFOLIO BENCHMARK ACTIVE WEIGHT
Consumer Discretionary 27.9 17.6 10.3
TOP 10 HOLDINGS WEIGHT (%) DATE PURCHASED Communication Services 22.1 11.3 10.8
Sea 8.9 Oct-17 Financials 18.2 17.8 0.4
Tencent 6.8 Dec-12 Health Care 10.9 5.0 5.9
MercadoLibre 6.6 Dec-12 Information Technology 10.3 20.4 -10.1
Taiwan Semiconductor 6.3 Jul-15 Consumer Staples 5.8 5.6 0.2
Alibaba 6.1 Sep-14 Materials 1.4 8.4 -7.0
Anta Sports Products 4.2 Jul-16 Industrials 1.3 4.9 -3.6
Apollo Hospitals 4.1 Dec-12 Real Estate 0.6 2.0 -1.4
Yandex 4.1 Jan-17 Energy – 5.0 -5.0
Wuxi Biologics 3.9 Mar-19 Utilities – 2.0 -2.0
Bajaj Finance 3.6 Jul-18 [Cash] 1.7 – 1.7
Total 54.6
All values are that of the Emerging Markets Growth Composite. The companies illustrated above represent a sub-set of current holdings in the Emerging Markets Growth Composite and were selected based on the performance measures
presented. Pricing obtained from IDC. Rounding may cause figures to vary from 100.0%. GIPS® Reports and additional disclosures for the related composites may be found at
http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · P336 11Contribution Analysis: Quarter to Date
Emerging Markets Growth vs. MSCI Emerging Markets Index
Period Ending June 30, 2021
BEST PERFORMERS (%) TOP ABSOLUTE CONTRIBUTORS (%)
AVERAGE TOTAL ABSOLUTE RELATIVE AVERAGE TOTAL ABSOLUTE RELATIVE
COMPANY GICS SECTOR COMPANY GICS SECTOR
WEIGHT RETURN CONTRIB. CONTRIB. WEIGHT RETURN CONTRIB. CONTRIB.
Kaspi 1.7 49.3 0.7 0.7 Financials Sea 8.8 23.0 2.0 2.0 Communication Services
Wuxi Biologics 3.3 46.3 1.4 1.1 Health Care Anta Sports Products 3.6 44.8 1.4 1.3 Consumer Discretionary
Anta Sports Products 3.6 44.8 1.4 1.3 Consumer Discretionary Wuxi Biologics 3.3 46.3 1.4 1.1 Health Care
Hutchison China MediTech 0.8 39.0 0.3 0.3 Health Care Apollo Hospitals 3.9 22.7 0.8 0.8 Health Care
ICICI Prudential Life Insurance 2.2 35.3 0.7 0.7 Financials Kaspi 1.7 49.3 0.7 0.7 Financials
WORST PERFORMERS (%) TOP ABSOLUTE DETRACTORS (%)
AVERAGE TOTAL ABSOLUTE RELATIVE AVERAGE TOTAL ABSOLUTE RELATIVE
COMPANY GICS SECTOR COMPANY GICS SECTOR
WEIGHT RETURN CONTRIB. CONTRIB. WEIGHT RETURN CONTRIB. CONTRIB.
New Oriental Education 1.8 -41.5 -0.9 -0.8 Consumer Discretionary New Oriental Education 1.8 -41.5 -0.9 -0.8 Consumer Discretionary
Tencent Music 1.3 -24.5 -0.4 -0.4 Communication Services Tencent Music 1.3 -24.5 -0.4 -0.4 Communication Services
CP All 1.1 -14.3 -0.2 -0.2 Consumer Staples Prosus 2.3 -12.2 -0.3 -0.3 Consumer Discretionary
Prosus 2.3 -12.2 -0.3 -0.3 Consumer Discretionary Tencent 7.4 -3.9 -0.3 -0.1 Communication Services
Trip 1.8 -10.5 -0.2 -0.2 Consumer Discretionary CP All 1.1 -14.3 -0.2 -0.2 Consumer Staples
Contribution and performance are calculated using end of day prices, and do not reflect actual purchase prices. This can affect the presentation of contribution and performance of IPOs and other transactions amid heightened volatility.
Emerging Markets Growth may participate in IPOs in eligible accounts and purchase additional shares in the secondary market. All values are that of the Emerging Markets Growth Composite. The companies illustrated above represent a
sub-set of current holdings in the Emerging Markets Growth Composite and were selected based on the performance measures presented. Top and Bottom absolute contribution figures were calculated by multiplying the security's
average weight by the security's return. The investments results shown are gross of advisory fees and reflect the reinvestment of dividends and any other earnings. The client's return will be reduced by these fees and expenses in addition
to any other costs incurred in the management of the account. Pricing obtained from IDC. To receive a complete list of and description of the calculation methodology for the attribution analysis and complete list detailing each holding’s
attribution please contact a member of the Client Relations Team at 703-562-4000. GIPS® Reports and additional disclosures for the related composites may be found at
http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Past performance is not indicative of future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · P336 12Attribution Analysis: Quarter to Date
Emerging Markets Growth vs. MSCI Emerging Markets Index
Period Ending June 30, 2021
Total Effect Selection Effect Allocation Effect Currency Effect
6.0 2.0
5.0
1.5
4.0
3.0
1.0
BY COUNTRY (%) 2.0 0.5
(Top/Bottom 5) 1.0
0.0
0.0
-0.5
-1.0
-2.0 -1.0
Total Singapore India China Kazakhstan South Africa Thailand Mexico Saudi Arabia Netherlands Taiwan
Portfolio Weight (avg) 100.0 8.8 21.5 31.0 1.7 – 1.1 – – 2.3 6.4
Index Weight (avg) 100.0 – 9.7 37.3 – 3.8 1.8 1.8 2.8 – 13.9
Portfolio Return 8.6 23.0 11.0 5.1 49.3 – -14.3 – – -12.2 1.9
Index Return 5.1 – 6.9 2.3 – -1.5 -4.9 9.1 10.0 – 7.1
Relative Return 3.5 23.0 4.1 2.8 49.3 1.5 -9.4 -9.1 -10.0 -12.2 -5.2
6.0 2.5
5.0 2.0
4.0
1.5
3.0
1.0
BY SECTOR (%) 2.0
0.5
(GICS Sectors) 1.0
0.0 0.0
-1.0 -0.5
-2.0 -1.0
Communication Information Consumer Consumer
Total Health Care Financials Real Estate Utilities Materials Industrials Energy
Services Technology Staples Discretionary
Portfolio Weight (avg) 100.0 9.6 18.0 22.1 10.2 0.6 – 1.3 1.3 6.2 – 28.5
Index Weight (avg) 100.0 4.7 18.2 11.6 20.7 2.1 2.0 8.5 4.5 5.7 4.9 17.2
Portfolio Return 8.6 31.2 12.8 7.9 6.2 -2.7 – 16.0 20.7 -0.1 – 2.4
Index Return 5.1 14.1 4.2 1.9 3.8 -6.0 2.0 8.2 13.2 4.5 12.4 3.6
Relative Return 3.5 17.1 8.6 6.0 2.4 3.3 -2.0 7.8 7.5 -4.6 -12.4 -1.2
Contribution and performance are calculated using end of day prices, and do not reflect actual purchase prices. This can affect the presentation of contribution and performance of IPOs and other transactions amid heightened volatility.
Emerging Markets Growth may participate in IPOs in eligible accounts and purchase additional shares in the secondary market. All values are that of the Emerging Markets Growth Composite. The investments results shown are gross of
advisory fees and reflect the reinvestment of dividends and any other earnings. The client's return will be reduced by these fees and expenses in addition to any other costs incurred in the management of the account. The attribution
analysis approximates the gross excess returns of the portfolio and is calculated by the FactSet attribution model based on a “buy-and-hold” approach. Returns will not match actual performance because FactSet uses different exchange
rate sources, the performance does not capture intra-day trading, and the analysis removes the impact of cash flows. Pricing obtained from IDC. To receive a complete list of and description of the calculation methodology for the
attribution analysis and complete list detailing each holding’s attribution please contact a member of the Client Relations Team at 703-562-4000. GIPS® Reports and additional disclosures for the related composites may be found at
http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Past performance is not indicative of future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · P336 13Contribution Analysis: Year to Date
Emerging Markets Growth vs. MSCI Emerging Markets Index
Period Ending June 30, 2021
BEST PERFORMERS (%) TOP ABSOLUTE CONTRIBUTORS (%)
AVERAGE TOTAL ABSOLUTE RELATIVE AVERAGE TOTAL ABSOLUTE RELATIVE
COMPANY GICS SECTOR COMPANY GICS SECTOR
WEIGHT RETURN CONTRIB. CONTRIB. WEIGHT RETURN CONTRIB. CONTRIB.
Kaspi 1.6 63.4 0.8 0.8 Financials Sea 8.8 38.0 3.1 3.1 Communication Services
Anta Sports Products 3.5 49.0 1.7 1.6 Consumer Discretionary Anta Sports Products 3.5 49.0 1.7 1.6 Consumer Discretionary
Apollo Hospitals 3.6 47.5 1.3 1.3 Health Care Wuxi Biologics 3.3 38.2 1.4 1.2 Health Care
Wuxi Biologics 3.3 38.2 1.4 1.2 Health Care Apollo Hospitals 3.6 47.5 1.3 1.3 Health Care
Sea 8.8 38.0 3.1 3.1 Communication Services Kaspi 1.6 63.4 0.8 0.8 Financials
WORST PERFORMERS (%) TOP ABSOLUTE DETRACTORS (%)
AVERAGE TOTAL ABSOLUTE RELATIVE AVERAGE TOTAL ABSOLUTE RELATIVE
COMPANY GICS SECTOR COMPANY GICS SECTOR
WEIGHT RETURN CONTRIB. CONTRIB. WEIGHT RETURN CONTRIB. CONTRIB.
New Oriental Education 2.1 -55.9 -1.7 -1.5 Consumer Discretionary New Oriental Education 2.1 -55.9 -1.7 -1.5 Consumer Discretionary
Tencent Music 1.0 -43.1 -0.7 -0.7 Communication Services Tencent Music 1.0 -43.1 -0.7 -0.7 Communication Services
CD Projekt 0.5 -32.1 -0.2 -0.2 Communication Services MercadoLibre 7.0 -7.0 -0.4 -0.4 Consumer Discretionary
JD Health 0.8 -25.9 -0.3 -0.3 Consumer Discretionary Bandhan Bank 1.1 -19.3 -0.3 -0.3 Financials
Allegro 0.7 -24.2 -0.2 -0.2 Consumer Discretionary Prosus 2.4 -9.5 -0.3 -0.3 Consumer Discretionary
Contribution and performance are calculated using end of day prices, and do not reflect actual purchase prices. This can affect the presentation of contribution and performance of IPOs and other transactions amid heightened volatility.
Emerging Markets Growth may participate in IPOs in eligible accounts and purchase additional shares in the secondary market. All values are that of the Emerging Markets Growth Composite. The companies illustrated above represent a
sub-set of current holdings in the Emerging Markets Growth Composite and were selected based on the performance measures presented. Top and Bottom absolute contribution figures were calculated by multiplying the security's
average weight by the security's return. The investments results shown are gross of advisory fees and reflect the reinvestment of dividends and any other earnings. The client's return will be reduced by these fees and expenses in addition
to any other costs incurred in the management of the account. Pricing obtained from IDC. To receive a complete list of and description of the calculation methodology for the attribution analysis and complete list detailing each holding’s
attribution please contact a member of the Client Relations Team at 703-562-4000. GIPS® Reports and additional disclosures for the related composites may be found at
http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Past performance is not indicative of future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · P336 14Attribution Analysis: Year to Date
Emerging Markets Growth vs. MSCI Emerging Markets Index
Period Ending June 30, 2021
Total Effect Selection Effect Allocation Effect Currency Effect
1.5 3.0
1.0 2.5
0.5 2.0
0.0 1.5
-0.5 1.0
BY COUNTRY (%) -1.0 0.5
(Top/Bottom 5) -1.5 0.0
-2.0 -0.5
-2.5 -1.0
-3.0 -1.5
Total Singapore Kazakhstan India China Malaysia Brazil Poland Russia Argentina Taiwan
Portfolio Weight (avg) 100.0 8.8 1.6 20.7 31.7 – 6.5 1.2 4.0 8.7 6.3
Index Weight (avg) 100.0 – – 9.5 38.4 1.4 4.7 0.7 3.1 0.1 13.7
Portfolio Return 6.2 38.0 63.4 12.1 1.8 – -0.1 -27.3 1.7 -5.5 10.9
Index Return 7.5 – – 12.4 1.8 -8.1 10.7 9.8 19.7 -0.5 18.8
Relative Return -1.3 38.0 63.4 -0.3 – 8.1 -10.8 -37.1 -18.0 -5.0 -7.9
1.5 3.0
1.0
2.0
0.5
0.0
1.0
BY SECTOR (%) -0.5 0.0
(GICS Sectors) -1.0
-1.0
-1.5
-2.0
-2.0
-2.5 -3.0
Communication Consumer Information Consumer
Total Health Care Financials Real Estate Utilities Energy Industrials Materials
Services Staples Technology Discretionary
Portfolio Weight (avg) 100.0 9.7 22.3 17.6 0.6 – 6.0 – 10.2 1.2 1.3 29.1
Index Weight (avg) 100.0 4.6 11.8 17.8 2.0 2.0 5.6 4.8 20.8 4.4 8.1 17.9
Portfolio Return 6.2 35.1 12.2 8.0 1.4 – -4.5 – 5.0 -3.6 6.4 -3.7
Index Return 7.5 8.9 7.6 7.5 -0.4 3.9 1.6 15.6 8.7 16.2 18.0 0.3
Relative Return -1.3 26.2 4.6 0.5 1.8 -3.9 -6.1 -15.6 -3.7 -19.8 -11.6 -4.0
Contribution and performance are calculated using end of day prices, and do not reflect actual purchase prices. This can affect the presentation of contribution and performance of IPOs and other transactions amid heightened volatility.
Emerging Markets Growth may participate in IPOs in eligible accounts and purchase additional shares in the secondary market. All values are that of the Emerging Markets Growth Composite. The investments results shown are gross of
advisory fees and reflect the reinvestment of dividends and any other earnings. The client's return will be reduced by these fees and expenses in addition to any other costs incurred in the management of the account. The attribution
analysis approximates the gross excess returns of the portfolio and is calculated by the FactSet attribution model based on a “buy-and-hold” approach. Returns will not match actual performance because FactSet uses different exchange
rate sources, the performance does not capture intra-day trading, and the analysis removes the impact of cash flows. Pricing obtained from IDC. To receive a complete list of and description of the calculation methodology for the
attribution analysis and complete list detailing each holding’s attribution please contact a member of the Client Relations Team at 703-562-4000. GIPS® Reports and additional disclosures for the related composites may be found at
http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Past performance is not indicative of future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · P336 15Contribution Analysis: Trailing 1 Year
Emerging Markets Growth vs. MSCI Emerging Markets Index
Period Ending June 30, 2021
BEST PERFORMERS (%) TOP ABSOLUTE CONTRIBUTORS (%)
AVERAGE TOTAL ABSOLUTE RELATIVE AVERAGE TOTAL ABSOLUTE RELATIVE
COMPANY GICS SECTOR COMPANY GICS SECTOR
WEIGHT RETURN CONTRIB. CONTRIB. WEIGHT RETURN CONTRIB. CONTRIB.
Wuxi Biologics 3.2 200.5 4.3 3.7 Health Care Sea 8.5 156.1 10.3 10.3 Communication Services
Apollo Hospitals 3.2 172.4 3.5 3.5 Health Care Taiwan Semiconductor 5.5 114.5 4.4 -0.3 Information Technology
Anta Sports Products 3.5 168.4 4.3 4.0 Consumer Discretionary Wuxi Biologics 3.2 200.5 4.3 3.7 Health Care
Sea 8.5 156.1 10.3 10.3 Communication Services Anta Sports Products 3.5 168.4 4.3 4.0 Consumer Discretionary
Kaspi 1.0 143.6 1.3 1.3 Financials MercadoLibre 6.8 58.0 4.2 4.2 Consumer Discretionary
WORST PERFORMERS (%) TOP ABSOLUTE DETRACTORS (%)
AVERAGE TOTAL ABSOLUTE RELATIVE AVERAGE TOTAL ABSOLUTE RELATIVE
COMPANY GICS SECTOR COMPANY GICS SECTOR
WEIGHT RETURN CONTRIB. CONTRIB. WEIGHT RETURN CONTRIB. CONTRIB.
CD Projekt 0.3 -54.4 -0.6 -0.5 Communication Services Tencent Music 0.5 -43.1 -0.7 -0.7 Communication Services
Tencent Music 0.5 -43.1 -0.7 -0.7 Communication Services CD Projekt 0.3 -54.4 -0.6 -0.5 Communication Services
New Oriental Education 2.4 -37.1 -0.5 -0.4 Consumer Discretionary New Oriental Education 2.4 -37.1 -0.5 -0.4 Consumer Discretionary
CP All 1.3 -13.3 -0.3 -0.3 Consumer Staples CP All 1.3 -13.3 -0.3 -0.3 Consumer Staples
Allegro 0.6 -6.5 0.0 0.0 Consumer Discretionary NagaCorp 0.1 -3.6 -0.1 0.0 Consumer Discretionary
Contribution and performance are calculated using end of day prices, and do not reflect actual purchase prices. This can affect the presentation of contribution and performance of IPOs and other transactions amid heightened volatility.
Emerging Markets Growth may participate in IPOs in eligible accounts and purchase additional shares in the secondary market. All values are that of the Emerging Markets Growth Composite. The companies illustrated above represent a
sub-set of current holdings in the Emerging Markets Growth Composite and were selected based on the performance measures presented. Top and Bottom absolute contribution figures were calculated by multiplying the security's
average weight by the security's return. The investments results shown are gross of advisory fees and reflect the reinvestment of dividends and any other earnings. The client's return will be reduced by these fees and expenses in addition
to any other costs incurred in the management of the account. Pricing obtained from IDC. To receive a complete list of and description of the calculation methodology for the attribution analysis and complete list detailing each holding’s
attribution please contact a member of the Client Relations Team at 703-562-4000. GIPS® Reports and additional disclosures for the related composites may be found at
http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Past performance is not indicative of future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · P336 16Attribution Analysis: Trailing 1 Year
Emerging Markets Growth vs. MSCI Emerging Markets Index
Period Ending June 30, 2021
Total Effect Selection Effect Allocation Effect Currency Effect
20.0 8.0
15.0 6.0
4.0
10.0
BY COUNTRY (%) 2.0
5.0
(Top/Bottom 5) 0.0
0.0 -2.0
-5.0 -4.0
Total Singapore China India Argentina Kazakhstan Hong Kong Taiwan Poland Netherlands Korea
Portfolio Weight (avg) 100.0 8.5 33.8 19.2 8.7 1.0 2.9 5.5 0.9 2.5 –
Index Weight (avg) 100.0 – 39.9 8.9 0.1 – – 13.2 0.7 – 12.7
Portfolio Return 53.9 156.1 39.1 73.7 55.5 143.6 32.9 114.5 -28.8 5.4 –
Index Return 40.9 – 27.4 56.4 28.6 – -12.2 70.5 26.7 – 66.2
Relative Return 13.0 156.1 11.7 17.3 26.9 143.6 45.1 44.0 -55.5 5.4 -66.2
25.0 10.0
20.0 8.0
15.0 6.0
10.0 4.0
BY SECTOR (%)
5.0 2.0
(GICS Sectors)
0.0 0.0
-5.0 -2.0
-10. 0 -4.0
Communication Consumer Consumer Information
Total Health Care Financials Real Estate Energy Utilities Industrials Materials
Services Discretionary Staples Technology
Portfolio Weight (avg) 100.0 9.4 22.6 15.9 0.6 – – 1.3 30.2 6.0 1.2 10.1
Index Weight (avg) 100.0 4.5 12.3 17.9 2.2 5.1 2.0 4.4 18.6 5.9 7.6 19.6
Portfolio Return 53.9 149.2 56.7 49.9 29.1 – – 72.3 37.5 14.3 80.2 73.9
Index Return 40.9 32.4 23.0 33.0 6.6 32.3 20.3 44.8 36.9 23.7 71.1 75.5
Relative Return 13.0 116.8 33.7 16.9 22.5 -32.3 -20.3 27.5 0.6 -9.4 9.1 -1.6
Contribution and performance are calculated using end of day prices, and do not reflect actual purchase prices. This can affect the presentation of contribution and performance of IPOs and other transactions amid heightened volatility.
Emerging Markets Growth may participate in IPOs in eligible accounts and purchase additional shares in the secondary market. All values are that of the Emerging Markets Growth Composite. The investments results shown are gross of
advisory fees and reflect the reinvestment of dividends and any other earnings. The client's return will be reduced by these fees and expenses in addition to any other costs incurred in the management of the account. The attribution
analysis approximates the gross excess returns of the portfolio and is calculated by the FactSet attribution model based on a “buy-and-hold” approach. Returns will not match actual performance because FactSet uses different exchange
rate sources, the performance does not capture intra-day trading, and the analysis removes the impact of cash flows. Pricing obtained from IDC. To receive a complete list of and description of the calculation methodology for the
attribution analysis and complete list detailing each holding’s attribution please contact a member of the Client Relations Team at 703-562-4000. GIPS® Reports and additional disclosures for the related composites may be found at
http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Past performance is not indicative of future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · P336 17Contribution & Attribution Analysis: Trailing 3 Year
Emerging Markets Growth vs. MSCI Emerging Markets Index
Period Ending June 30, 2021
TOP ABSOLUTE CONTRIBUTORS (%) REGION ATTRIBUTION
ACTIVE RELATIVE TOTAL
AVERAGE TOTAL ABSOLUTE RELATIVE REGION WEIGHT RETURN EFFECT
COMPANY GICS SECTOR
WEIGHT RETURN CONTRIB. CONTRIB. Asia/Pacific Ex Japan -10.1 244.1 20.0
Latin America 0.8 156.5 14.4
Sea 5.3 1730.7 29.5 29.4 Communication Services
Emerging Asia 10.9 18.6 8.6
MercadoLibre 5.1 421.1 14.5 14.5 Consumer Discretionary Mid-East & Africa -6.2 103.5 3.6
Europe 1.5 9.6 1.1
Anta Sports Products 3.5 359.6 8.3 7.9 Consumer Discretionary
Tencent 7.4 51.1 7.0 3.7 Communication Services
Taiwan Semiconductor 3.8 250.2 7.0 0.1 Information Technology
SECTOR ATTRIBUTION
ACTIVE RELATIVE TOTAL
SECTOR WEIGHT RETURN EFFECT
TOP ABSOLUTE DETRACTORS (%) Communication Services 8.5 123.8 25.7
Consumer Discretionary 18.1 18.9 11.5
Health Care 4.5 140.1 7.0
AVERAGE TOTAL ABSOLUTE RELATIVE Financials -6.3 25.5 5.3
COMPANY GICS SECTOR
WEIGHT RETURN CONTRIB. CONTRIB. Materials -6.1 73.0 1.0
Utilities -2.4 -8.3 0.7
Baidu 1.5 -44.0 -3.6 -3.0 Communication Services
Energy -6.7 -19.8 0.7
Medy-Tox 0.9 -42.6 -3.2 -3.2 Health Care Real Estate -1.4 15.3 0.3
Industrials -1.4 -9.7 -0.2
MakeMyTrip 1.1 -63.4 -3.1 -3.1 Consumer Discretionary
Consumer Staples -0.5 -9.4 -1.1
Trip 2.6 -25.6 -2.9 -2.7 Consumer Discretionary Information Technology -9.4 5.5 -3.6
Amorepacific 0.2 -50.6 -2.3 -2.2 Consumer Staples
Contribution and performance are calculated using end of day prices, and do not reflect actual purchase prices. This can affect the presentation of contribution and performance of IPOs and other transactions amid heightened volatility.
Emerging Markets Growth may participate in IPOs in eligible accounts and purchase additional shares in the secondary market. All values are that of the Emerging Markets Growth Composite and were selected based on the performance
measures presented. The investments results shown are gross of advisory fees and reflect the reinvestment of dividends and any other earnings. The client's return will be reduced by these fees and expenses in addition to any other costs
incurred in the management of the account. Top and Bottom absolute contribution figures were calculated by multiplying the security's average weight by the security's return. The attribution analysis approximates the gross excess
returns of the portfolio and is calculated by the FactSet attribution model based on a “buy-and-hold” approach. Returns will not match actual performance because FactSet uses different exchange rate sources, the performance does not
capture intra-day trading, and the analysis removes the impact of cash flows. Pricing obtained from IDC. To receive a complete list of and description of the calculation methodology for the attribution analysis and complete list detailing
each holding’s attribution please contact a member of the Client Relations Team at 703-562-4000. GIPS® Reports and additional disclosures for the related composites may be found at
http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Past performance is not indicative of future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · P336 18Contribution & Attribution Analysis: Trailing 5 Year
Emerging Markets Growth vs. MSCI Emerging Markets Index
Period Ending June 30, 2021
TOP ABSOLUTE CONTRIBUTORS (%) REGION ATTRIBUTION
ACTIVE RELATIVE TOTAL
AVERAGE TOTAL ABSOLUTE RELATIVE REGION WEIGHT RETURN EFFECT
COMPANY GICS SECTOR
WEIGHT RETURN CONTRIB. CONTRIB. Emerging Asia 13.2 41.8 22.8
Asia/Pacific Ex Japan -12.3 339.8 21.5
Sea 3.3 1588.8 29.3 29.3 Communication Services
Latin America -0.6 198.8 20.1
MercadoLibre 4.5 1011.9 21.7 21.6 Consumer Discretionary Mid-East & Africa -4.7 233.2 12.6
Europe 1.3 -41.6 -2.2
Alibaba 8.2 185.2 20.0 13.3 Consumer Discretionary
Tencent 5.9 235.6 13.1 4.7 Communication Services
Anta Sports Products 2.9 1027.0 12.0 11.5 Consumer Discretionary
SECTOR ATTRIBUTION
ACTIVE RELATIVE TOTAL
SECTOR WEIGHT RETURN EFFECT
TOP ABSOLUTE DETRACTORS (%) Consumer Discretionary 18.5 95.7 33.3
Communication Services 6.1 231.0 33.1
Financials -8.5 56.3 9.1
AVERAGE TOTAL ABSOLUTE RELATIVE Industrials -0.2 32.6 5.6
COMPANY GICS SECTOR
WEIGHT RETURN CONTRIB. CONTRIB. Utilities -2.6 -12.5 3.3
Real Estate -1.2 11.9 2.2
Hikma Pharmaceuticals 0.7 -57.8 -4.1 -4.1 Health Care
Materials -6.0 60.7 0.9
Amorepacific 0.8 -61.5 -3.9 -3.6 Consumer Staples Energy -6.8 -74.1 0.6
Health Care 5.8 81.8 -1.9
Grupo Aeroportuario 1.0 -41.5 -2.2 -2.2 Industrials
Consumer Staples 2.4 -10.1 -4.2
Trip 2.7 -13.9 -2.1 -2.1 Consumer Discretionary Information Technology -10.5 -46.6 -6.9
Bandhan Bank 0.4 -44.4 -1.9 -1.8 Financials
Contribution and performance are calculated using end of day prices, and do not reflect actual purchase prices. This can affect the presentation of contribution and performance of IPOs and other transactions amid heightened volatility.
Emerging Markets Growth may participate in IPOs in eligible accounts and purchase additional shares in the secondary market. All values are that of the Emerging Markets Growth Composite and were selected based on the performance
measures presented. The investments results shown are gross of advisory fees and reflect the reinvestment of dividends and any other earnings. The client's return will be reduced by these fees and expenses in addition to any other costs
incurred in the management of the account. Top and Bottom absolute contribution figures were calculated by multiplying the security's average weight by the security's return. The attribution analysis approximates the gross excess
returns of the portfolio and is calculated by the FactSet attribution model based on a “buy-and-hold” approach. Returns will not match actual performance because FactSet uses different exchange rate sources, the performance does not
capture intra-day trading, and the analysis removes the impact of cash flows. Pricing obtained from IDC. To receive a complete list of and description of the calculation methodology for the attribution analysis and complete list detailing
each holding’s attribution please contact a member of the Client Relations Team at 703-562-4000. GIPS® Reports and additional disclosures for the related composites may be found at
http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Past performance is not indicative of future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · P336 19Trailing Attribution Effects
Emerging Markets Growth vs. MSCI Emerging Markets Index
Period Ending June 30, 2021
Total Effect Selection Effect Allocation Effect Currency Effect
90.0
80.0
70.0
60.0
50.0
BY REGION (%) 40.0
30.0
20.0
10.0
0.0
-10.0
-20.0
QTD YTD 1 Yr. 3 Yrs. 5 Yrs.
Portfolio Return 8.6 6.2 53.9 84.2 159.7
Index Return 5.1 7.5 40.9 37.8 84.5
Relative Return 3.5 -1.3 13.0 46.4 75.2
90.0
80.0
70.0
60.0
BY SECTOR 50.0
(%) 40.0
(GICS Sectors) 30.0
20.0
10.0
0.0
-10.0
-20.0
QTD YTD 1 Yr. 3 Yrs. 5 Yrs.
Contribution and performance are calculated using end of day prices, and do not reflect actual purchase prices. This can affect the presentation of contribution and performance of IPOs and other transactions amid heightened volatility.
Emerging Markets Growth may participate in IPOs in eligible accounts and purchase additional shares in the secondary market. All values are that of the Emerging Markets Growth Composite. The investments results shown are gross of
advisory fees and reflect the reinvestment of dividends and any other earnings. The client's return will be reduced by these fees and expenses in addition to any other costs incurred in the management of the account. The attribution
analysis approximates the gross excess returns of the portfolio and is calculated by the FactSet attribution model based on a “buy-and-hold” approach. Returns will not match actual performance because FactSet uses different exchange
rate sources, the performance does not capture intra-day trading, and the analysis removes the impact of cash flows. Pricing obtained from IDC. To receive a complete list of and description of the calculation methodology for the
attribution analysis and complete list detailing each holding’s attribution please contact a member of the Client Relations Team at 703-562-4000. GIPS® Reports and additional disclosures for the related composites may be found at
http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Past performance is not indicative of future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · P336 20Risk Statistics
Emerging Markets Growth vs. MSCI Emerging Markets Index
Net Results for Period Ending June 30, 2021
EMG
MSCI EM
30 1.17 1.13
1.08 Beta to MSCI EM
25 1.04 1.00 1.00 0.99
Sector Exposure (%)
0.87
20 0.79 0.78
0.73
15
10
5
0
5 Year Risk Statistics – EMG VS. MSCI EM
Annualized Up Annualized Down Max
Beta Capture Ratio Capture Ratio Drawdown
1.02 119.4% 92.3% -24.7% vs.
-28.7%
EMG MSCI EM
Emerging Markets Growth returns used to calculate all statistics shown are net of advisory fees and reflect the reinvestment of dividends and any other earnings. Sectors are based on GICS classifications. Beta is a measure of an asset’s
risk in relation to the market, as typically represented by a broad index. Annualized Up Capture Ratio is a measure of the manager’s performance during phases of positive benchmark returns. Annualized Down Capture Ratio is a measure
of the manager’s performance during phases of negative benchmark returns. Max Drawdown is the maximum of the peak-to-trough declines during a specific period. GIPS® Reports and additional disclosures for the related composites
may be found at http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. The chart above is shown for illustrative purposes only and is not intended as a forecast, guarantee of
future results, investment recommendation, or an offer to buy or sell any securities. Characteristics and sector exposure are subject to change and should not be considered as recommendations. Past performance is not indicative of
future results. Source: SCM, MSCI.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · P336 21Significant Transactions
Emerging Markets Growth
Period Started January 1, 2021 and Ended June 30, 2021
PURCHASES SCM SECTOR SALES SCM SECTOR
1Q21 Tencent Music Technology BeiGene Life Sciences
2Q21 Haidilao Consumer No Transactions for this period.
Kanzhun Technology
The securities identified represent new securities purchased and sold within the current and prior quarter but do not include weight changes. The list above does not include in progress purchase investment actions. Upon request, a
complete list of securities purchased and sold in the Emerging Markets Growth Composite will be provided. It should not be assumed that these holdings were or will be profitable. GIPS® Reports and additional disclosures for the related
composites may be found at http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · P336 22Portfolio Holdings by Sector Emerging Markets Growth vs. MSCI Emerging Markets Index Period Ending June 30, 2021 SECTOR/COMPANY BUSINESS SPACE DOMICILE PORTFOLIO (%) BENCHMARK (%) OWNED SINCE Communication Services 22.1 11.3 CD Projekt Interactive Gaming and Software Poland 0.4 0.0 2020 Kanzhun1 Recruiting and B2B Marketing and Sales China 0.8 – 2021 Sea1 Internet Software and Services Singapore 8.9 – 2017 Tencent1 Internet Communications and Entertainment China 6.8 5.0 2012 Tencent Music1 Internet Communications and Entertainment China 1.1 0.1 2021 Yandex Internet Search and Media Russia 4.1 0.3 2017 Consumer Discretionary 27.9 17.6 Alibaba1 Internet Retail China 6.1 5.0 2014 Allegro Internet Retail Poland 0.7 0.1 2020 Anta Sports Products Textile Apparel and Luxury Goods China 4.2 0.3 2016 Haidilao Restaurants and Food Retail China 0.8 0.1 2021 JD Health Health Care Equipment and Supplies China 0.7 0.0 2020 Jubilant Foodworks Quick Service Restaurants India 2.6 0.0 2012 MercadoLibre Online Marketplace and Payment Service Argentina 6.6 – 2012 New Oriental Education1 Education Services China 1.1 0.1 2018 Prosus Internet Retail Netherlands 1.8 – 2019 Titan Jewelry, Watch, and Eyewear Retail India 1.7 0.1 2019 Trip1 Online Travel Reservation Service China 1.6 0.2 2016 Consumer Staples 5.8 5.6 Britannia Packaged Foods India 2.3 0.1 2016 CP All Food Retail Thailand 1.0 0.1 Foshan Haitian Flavoring Food Products China 1.5 0.0 2020 Raia Drogasil Pharmacy Retail Brazil 0.9 0.1 2012 Energy 5.0 Financials 18.2 17.8 AIA Insurance Hong Kong 2.6 – 2018 Bajaj Finance Consumer Durables Financing India 3.6 0.3 2018 Bandhan Bank Commercial Banks India 1.0 0.0 2019 Bank Central Asia Diversified Banking and Financial Services Indonesia 1.4 0.3 2018 HDFC Bank1 Commercial Banks India 2.8 – 2017 ICICI Prudential Life Insurance Insurance India 2.3 0.0 2020 Kaspi1 Diversified Banking and Financial Services Kazakhstan 2.1 – 2020 XP Diversified Financial Services Brazil 2.4 – 2020 Health Care 10.9 5.0 Apollo Hospitals Hospital Owner/Operator, Pharmacy Owner/Operator India 4.1 0.1 2012 Hutchison China MediTech1 Biotech Therapeutic Drugs China 1.1 0.0 2018 Tigermed Contract Research Organization China 1.7 0.0 2020 Wuxi Biologics Contract Research Organization China 3.9 0.7 2019 Industrials 1.3 4.9 Localiza Rent a Car Consumer Automobiles Brazil 1.3 0.1 2019 Information Technology 10.3 20.4 Globant Software-as-a-Service - IT Service Management Argentina 1.7 0.1 2020 PagSeguro Digital Payment Processing Brazil 2.3 – 2019 Taiwan Semiconductor1 Semiconductors and Semiconductor Equipment Taiwan 6.3 6.1 2015 Materials 1.4 8.4 Asian Paints Paints and Chemicals India 1.4 0.2 2012 Real Estate 0.6 2.0 Vincom Retail Real Estate Management and Development Vietnam 0.6 – 2019 Utilities 1.9 [Cash] 1.7 1 ADRs. Data presented is that of the Emerging Markets Growth Composite. The index represented will differ in characteristics, holdings, and sector weightings from that of the composite. Rounding may cause figures to vary from 100.0%. GIPS® Reports and additional disclosures for the related composites may be found at http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf or at the end of this presentation. Source: Factset, SCM, MSCI. SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · P336 23
Our Portfolio
Our approach to investment research, portfolio construction, and risk management results in
a portfolio of high-quality, leading growth businesses located around the world.
KAZAKHSTAN RUSSIA
POLAND
NETHERLANDS
HONG KONG
TAIWAN
VIETNAM
BRAZIL
INDIA
CHINA
THAILAND
ARGENTINA
SINGAPORE INDONESIA
Data shown is as of June 30, 2021. The above information is that of the Emerging Markets Growth Composite.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · P336 24Appendix
1000 Wilson Boulevard
Suite 3000
Arlington, VA 22209, USA
703.562.4000
MIX Paper
sandscapital.com FSC® C001844
The views expressed are the opinion of Sands Capital Management and are not
intended as a forecast, a guarantee of future results, investment
recommendations, or an offer to buy or sell any securities. The views expressed
were current as of the date indicated and are subject to change. Past
performance is not indicative of future results. Differences in account size, timing
of transactions and market conditions prevailing at the time of investment may
lead to different results, and clients may lose money. A company’s fundamentals
or earnings growth is no guarantee that its share price will increase. Forward
earnings projections are not predictors of stock price or investment performance,
and do not represent past performance. Characteristics, sector exposure and
holdings information are subject to change, and should not be considered as
recommendations. The specific securities identified and described do not
represent all of the securities purchased, sold, or recommended for advisory
clients. There is no assurance that any securities discussed will remain in the
portfolio or that securities sold have not been repurchased. You should not
assume that any investment is or will be profitable.
The Global Industry Classification Standard ("GICS") was developed by and is the
exclusive property and a service mark of MSCI Inc. ("MSCI") and Standard &
Poor's, a division of The McGraw-Hill Companies, Inc. ("S&P") and is licensed for
use by Sands Capital Management, LLC. Neither MSCI, S&P nor any third party
involved in making or compiling the GICS or any GICS classifications makes any
express or implied warranties or representations with respect to such standard or
classification (or the results to be obtained by the use thereof), and all such
parties hereby expressly disclaim express or implied warranties or representations
with respect to any such standard or classification. Without limiting any of the
foregoing, in no event shall MSCI, S&P, any of their affiliates or any third party
involved in making or compiling the GICS or any GICS classifications have any
liability for any direct, indirect, special, punitive, consequential or any other
damages (including lost profits) even if notified of the possibility of such
damages.
All company logos and website images are used for illustrative purposes only and
were obtained directly from the company websites. Company logos and website
images are trademarks or registered trademarks of their respective owners and
use of a logo does not imply any connection between Sands Capital and the
On the Cover company. GIPS®-compliant presentations and additional disclosures for the
The Bandra-Worli Sea Link is a cable-stayed bridge that links Bandra in the Western Suburbs of Mumbai related composites may be found at
with Worli in South Mumbai. Mumbai is home to the headquarters of many Indian portfolio businesses such http://sandscapital.com/media/Sands_Capital_Annual_Disclosure_Presentation.pdf
as Asian Paints and HDFC Bank. or at the end of this presentation.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · D137 25Sands Capital exists to add value and
enhance the wealth of our clients
with prudence over time.
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · D137 26Investment Philosophy
We believe that, over time, common stock prices will reflect the earnings power and growth of the
underlying businesses. To be successful we must:
• Identify the few truly exceptional businesses with sustainable above-average growth
• Construct a concentrated conviction-weighted portfolio
• Accept short-term market volatility in exchange for long-term wealth creation
“As long-term investors, we buy leading growth
businesses… we do not trade stocks.”
Frank M. Sands, Sr., Founder
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · D137 27Investment Strategy
The cornerstone of our investment strategy is our proprietary global research:
Fundamental, bottom-up, and business-focused.
We seek to identify leading growth businesses that meet the following criteria:
1. Sustainable above-average earnings growth
2. Leadership position in a promising business space
3. Significant competitive advantage/unique business franchise
4. Clear mission and value-added focus
5. Financial strength
6. Rational valuation relative to the market and business prospects
SANDS CAPITAL MANAGEMENT, LLC · JUNE 2021 · D137 28Portfolio Guidelines and Construction
A concentrated and conviction-weighted portfolio based on fit with our six investment criteria
is the primary source of value added.
GUIDELINES CONSTRUCTION
Number of Holdings: 30-50
Large Weights
>3%
Average of 2-3%; maximum of 8% active Typically Top 10 Holdings
Position Size
weight
Turnover: Low 30-40%
% of Assets (approximate)
Outcome of research process; Medium Weights
Sector Exposure:1 monitor exposure to revenue drivers at >1.5-3%
portfolio level Typically 15-25 Holdings
Currency: Not actively managed
Cash Position: Residual
40-50%
% of Assets (approximate)
Small Weights
Benchmark: MSCI Emerging Markets IndexSecular Trends Drive Above-Average Growth
FINANCIAL PENETRATION LIFE SCIENCES INNOVATION
Approximately a third of the world’s adult population remains unbanked, Over the next decade, we view genes and genomics, minimally
and most live in emerging markets. invasive technologies, consumerization of health care, the
humanization of pets, and globalization of innovation as the most
New technologies are enabling access to basic financial products and important secular trends in life sciences.
services, including asset management, durable-goods financing, and
insurance. We focus on investing in businesses that are changing the standard-
of-care, providing best-in-class “picks and shovels” to biopharma
Businesses serving the needs of the growing middle class should and life science researchers, and meaningfully improving access and
benefit from increasing demand for financial services. cost in healthcare delivery.
MOBILE INTERNET INDUSTRY DIGITAL TRANSFORMATION
Rising internet connectivity and mobile device penetration are spurring Digital technologies are introducing new capabilities and disrupting
broad-based economic activity in emerging markets. the status quo in several industries, changing how consumers access
services and interact with companies.
Commercial opportunities—including ecommerce, mobile gaming, on-
demand video, ride-sharing, and social media—are being enabled by IT and R&D spending continues to shift toward innovations that make
new cloud, logistics, and enterprise solutions. processes more accurate, efficient, and safe.
All data is as of 6/30/21. The companies illustrated represent a sub-set of the Emerging Markets Growth Composite. They were chosen because they are the largest weights of the companies that reflect the secular growth trend listed.
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