The Baron Emerging Markets Fund® (BEXIX) reported a gain of 0.47% during the first quarter of 2026, outperforming its benchmark, the MSCI Emerging Markets Index, which saw a slight decline of 0.17%. The performance was notably influenced by strong returns in technology sectors, particularly from Taiwan Semiconductor Manufacturing Company Limited and Samsung Electronics Co., Ltd., which benefited from surging demand for AI-related technologies. Despite a volatile market environment, exacerbated by geopolitical tensions such as the war in Iran that raised oil prices, the Fund's diversified holdings in industrials and technology allowed it to navigate challenges effectively. While the near-term outlook remains cautious due to potential disruptions in oil supply, the Fund's management expresses confidence in the long-term fundamentals of its investments, particularly in emerging markets where growth potential remains robust. The Fund's expense ratios were reported at 1.37% for Retail Shares and 1.11% for Institutional Shares as of April 30, 2025.