August was a positive month for the ABC Funds despite a volatile market backdrop. While higher bond yields, geopolitical uncertainty, and lighter summer trading volumes contributed to the volatility, robust corporate earnings helped offset those headwinds.

For example, NVIDIA delivered another exceptional quarter, more than doubling revenue versus the prior year and provided strong forward guidance. These results demonstrate that demand for artificial intelligence infrastructure remains extremely powerful and reinforces our firm conviction in the continued expansion of the AI revolution.

Top ABC Funds contributors during August included ServiceNow, Micron Technology, Microsoft, NVIDIA, Thermo Fisher Scientific, S&P Global, ASML, and Visa.

More broadly, the U.S. economy continues to exhibit remarkable resilience supporting confidence in our long term growth themes and is positively impacting company quarterly results.

As we enter the final four months of 2026, our investment perspective remains optimistic. We believe continued economic growth, strong corporate profitability, and accelerating investment in artificial intelligence and technological innovation provide a favourable outlook for our diversified portfolios.

Irwin A. Michael, President
I.A. Michael Investment Counsel Ltd.

July was a volatile month for equity markets, as geopolitical concerns, fluctuating energy prices, and heightened market uncertainty weighed on investor sentiment. Despite these headwinds, the economic backdrop continues to demonstrate resilience while summer trading volumes amplify market volatility.

A bright spot during the month was positive corporate earnings results from several ABC Funds’ holdings including Microsoft, Alphabet, Boston Scientific, Thermo Fisher, and Visa. These company results exceeded investor expectations, reinforcing the strength of the high-quality businesses held across the ABC Funds.

We believe semiconductor stocks were overly punished during the month of July and remain undervalued despite their underlying fundamentals. We continue to believe that artificial intelligence and advanced computing remain among the most compelling long-term investment themes.

As we enter August, the stock market has begun to recover, supporting our view that July’s weakness was primarily driven by short-term sentiment rather than fundamentals. Looking ahead, we remain very optimistic and believe the second half of 2026 offers an attractive environment for long-term investors.

Irwin A. Michael, President
I.A. Michael Investment Counsel Ltd.

June was another positive month for the ABC Funds, with all three portfolios outperforming their respective benchmarks. The strongest contributors to our performance during the period included Micron, ASML, Visa, and Mastercard.

Of particular note, Micron, the largest holding across the ABC Funds, delivered a remarkable quarter. The company reported outstanding financial results, driven by surging demand for high-bandwidth memory used in artificial intelligence infrastructure and data centers. Micron has become one of the clearest beneficiaries of the AI revolution, and we believe the company is entering a period of exceptional long-term growth as demand for AI computing continues to accelerate.

The broader economic backdrop also remains supportive. The U.S. economy continues to demonstrate resilience, corporate earnings are generally exceeding expectations, and investment in artificial intelligence infrastructure continues to expand. We see these trends reinforcing our long-standing conviction that artificial intelligence represents one of the most significant technological and economic transformations of our time.

As we enter the second half of 2026, we remain very optimistic. Our portfolios are concentrated in high-quality companies that are well-positioned to benefit from powerful long-term secular growth trends. Furthermore, we believe the AI revolution is still in its early stages, and the ABC Funds remain strategically placed to capitalize on the opportunities that lie ahead.

Irwin A. Michael, President
I.A. Michael Investment Counsel Ltd.

May was an exceptional month for the ABC Funds, with all three portfolios meaningfully outperforming their respective benchmarks. This strong performance was driven by our long-standing positioning in artificial intelligence and the companies powering the next generation of technological innovation.

The momentum behind the AI revolution continued to accelerate throughout the month. Corporate earnings across the sector remained exceptionally strong, with many companies reporting results and outlooks that exceeded investor expectations. For example, NVIDIA once again delivered outstanding financial results, highlighting the continued strength of demand for AI infrastructure and advanced computing solutions.

Interestingly, investments directed toward artificial intelligence continue to increase. Alphabet last night announced plans to raise approximately $80 billion to support its expanding AI initiatives and infrastructure, with Berkshire Hathaway contributing $10 billion. We believe this development validates the investment themes we have highlighted for several years and reinforces the growing recognition of artificial intelligence as a transformative force across the global economy.

The strongest contributors to performance during the month included Micron Technology, ARM Holdings, ServiceNow, Apple, ASML, and Microsoft. Of particular note, Micron Technology, the largest holding in the ABC Funds, appreciated approximately 87% during the month. The company has become a major beneficiary from surging demand for high-bandwidth memory that is essential for AI systems and data centers. Another standout performer was ARM Holdings, which gained approximately 68% during the period. ARM is a British technology company whose processor architecture powers billions of devices worldwide, including smartphones, personal computers, data centers, and emerging AI application. We believe ARM is uniquely positioned to benefit from AI. Having been held in all three ABC Funds for a number of years, we are encouraged to see the market finally recognize the company’s strategic importance. More importantly, we believe many of our highest-conviction holdings are beginning to receive greater recognition from investors as the fundamental benefits of AI comes to fruition.

Looking ahead, we remain very optimistic. The U.S. economy continues to demonstrate resilience, corporate earnings remain strong, and investment in artificial intelligence infrastructure continues to accelerate. We believe the AI revolution has the potential to be one of the most significant investment themes in modern history and our ABC Funds remain exceptionally well-positioned to capitalize on this opportunity.

Irwin A. Michael, President
I.A. Michael Investment Counsel Ltd.

All three ABC Funds significantly outperformed their respective benchmarks during the month of April, reflecting the strength of our portfolio positioning and improving investor psychology.

This outperformance was driven by strong Q1 corporate earnings results, particularly within the technology sector, and continued advancements in artificial intelligence.

Interestingly, a key trend in April was the divergence between hardware and software companies, with increased investment flowing toward businesses directly involved in the AI buildout.

Over the past several years we have strategically positioned our ABC Funds in these areas with key holdings such as Micron, NVIDIA, Broadcom, ARM, ASML, Alphabet, and Amazon. These holdings meaningfully appreciated versus the broader indexes and other industry groups in April.

As we approach mid-2026 we continue to believe we are in the early stages of a major technological and economic transformation. By extension, with strong earnings and powerful long-term growth drivers in place, we believe our portfolios are well-positioned to power ahead as the year progresses.

Irwin A. Michael, President
I.A. Michael Investment Counsel Ltd.

March was a volatile month for equity markets, driven by heightened geopolitical developments, rising energy prices, and renewed interest rate concerns. The confluence of these factors created a more challenging environment and contributed to elevated investor anxiety.

Against this backdrop, corporate earnings remained a clear positive. Several core ABC Funds’ holdings delivered strong results, reinforcing the strength of underlying business fundamentals and validating our portfolio positioning. The standout was Micron Technology, which reported an exceptional quarter, significantly exceeding expectations and raising forward guidance, supported by continued demand for data infrastructure and advanced computing.

We continue to see strong momentum across multiple areas of the market including information technology, communications, and industrials, with innovation and capital investment supporting long-term growth.

Looking ahead, we remain optimistic. Economic conditions remain resilient, corporate earnings are strong, and many of the key drivers of growth are firmly in place. We believe our diversified portfolios are well-positioned to navigate the current period of price weakness while capturing opportunities as the year progresses.

Irwin A. Michael, President
I.A. Michael Investment Counsel Ltd.

February was a mixed month for global equity markets, as heightened geopolitical developments contributed to late-month volatility and risk aversion among investors. Despite this pressure, the underlying economic backdrop remains quite positive.

Several core holdings delivered strong earnings results during the month. Most notably, NVIDIA reported an exceptional quarter, exceeding expectations on both revenue and profit while meaningfully raising forward guidance. The company’s positive outlook continues to be supported by broad-based demand for AI infrastructure and accelerated data center deployment. This performance further reinforces our conviction that the AI revolution is still in its early innings and remains a powerful long-term growth driver.

Economic indicators throughout February were also supportive. Inflation remained stable and interest rate expectations continue to provide a favourable pathway for equities.

ABC Funds outperformers during the month included Canadian National Railway, Canadian Pacific Kansas City, TC Energy, Arm Holdings, McDonald’s, and CIBC highlighting the strength and diversification of our portfolios.

Looking ahead, we remain confident in the positioning of our funds. Our diversified, high-quality holdings are structured to navigate the current period of short-term uncertainty while remaining aligned with important long-term secular growth trends.

Irwin A. Michael, President
I.A. Michael Investment Counsel Ltd.

All three ABC Funds started the year on a strong note, with each fund outperforming its respective benchmarks in January. This early-year outperformance was largely driven by several of our highest-conviction holdings, including Micron, Meta, ASML, Amazon, Alphabet, and Bank of Montreal.

A defining theme for 2026 is the continued acceleration of the artificial intelligence cycle, which is driving meaningful innovation across sectors. From AI infrastructure and high-bandwidth memory to applications in robotics, autonomous systems, and cloud computing, we believe this trend remains in its early stages and our portfolios are well-positioned to benefit.

Despite some end-of-month volatility following the appointment of new Federal Reserve Chair Kevin Warsh, we view the transition as a net positive. His appointment removes a key source of uncertainty around U.S. monetary policy and signals a steady path forward. Meanwhile, the broader economic backdrop remains constructive: the U.S. economy is showing strength, inflation is stable, and corporate earnings have been coming in ahead of expectations.

Notably, recent earnings from companies like Meta and Apple reaffirm our confidence in the resilience and growth potential of high-quality, large-cap technology businesses, a core component of our investment strategy.

Looking ahead, we remain optimistic about the year to come. With improving visibility on interest rates, a strong economic foundation, and continued momentum across key innovation themes, we believe our ABC Funds are well-positioned to navigate the market and capitalize on the opportunities that lie ahead.

Irwin A. Michael, President
I.A. Michael Investment Counsel Ltd.

December was a mixed month for equity markets as investors digested late-year economic data and positioned portfolios ahead of 2026. While market performance was uneven, our focus remained on quality and secular growth themes which we believe will drive long-term returns.

Several core holdings delivered strong results during the month. Micron Technology stood out with an exceptional earnings report and outlook, driven by surging demand for high-bandwidth memory, a key component in next-generation AI data centers. This momentum has propelled Micron into a top position within our ABC Funds. Other notable contributors included NVIDIA, ASML, Visa, Toronto Dominion Bank, and S&P Global.

Moreover, NVIDIA continues to lead the AI revolution. Today, the company’s CEO, Jensen Huang, will deliver the keynote address at CES, one of the most influential tech events globally, where he will highlight the future of AI across industries including robotics, healthcare, and autonomous systems.

Looking ahead, we are optimistic about the investment landscape in 2026. On the macro front, we expect the U.S. economy to remain strong, interest rates to decline, and corporate earnings to continue trending upwards. These factors combined with resilient economic data, should provide a positive backdrop for equities.

More importantly, we believe we are at the forefront of a transformative period in technology and our ABC Funds are strategically positioned to benefit from a broadening of artificial intelligence, robotics, and next-generation computing.

We wish you a happy and prosperous New Year, and we look forward to building on this year’s progress as we navigate the opportunities ahead.

Irwin A. Michael, President
I.A. Michael Investment Counsel Ltd.

Equity markets were volatile in the month of November, as investors weighed mixed economic data, interest rate uncertainty, and embraced a more cautious tone heading into year-end.

Despite the volatility, several core ABC Funds holdings stood out with strong gains. Our top contributors during the month included Alphabet, Broadcom, Micron, Apple, Thermo Fisher Scientific, and Royal Bank of Canada.

NVIDIA, a longstanding core position across all ABC Funds, reported stellar quarterly earnings in November. The company exceeded expectations on revenue, profit, and forward guidance, reinforcing its position as the leader in artificial intelligence. Furthermore, NVIDIA’s upcoming Vera Rubin platform should drive a huge new wave of advancement and accelerate the AI revolution which we believe is one of the most important and transformative investment themes of our time.

While investors were skeptical about AI-related stocks in November, we believe the pullback presents an excellent opportunity as the market is underappreciating the scale, speed, and long term impact of AI.

In the meantime, interest rates and inflation remain stable, and corporate earnings reports continue to provide a solid foundation for equity performance.

As we approach year-end, we remain confident in the positioning of our portfolios. With a diversified mix of high-quality, large-capitalization holdings and long-term exposure to important secular tailwinds, we believe the ABC Funds are well-positioned for the opportunities ahead.

Irwin A. Michael, President
I.A. Michael Investment Counsel Ltd.