TimesSquare Capital Management
TimesSquare International Small Cap Portfolio
International Small-cap
Mar 2026 → Sep 2026
Our archive holds 3 letters from this strategy, behind 4 investment theses and positions in 33 companies. Every quote below is copied verbatim from the letter it came from.
3 letters in a year · follow all of TimesSquare Capital Management for every strategy.
Performance
as of Sep 30, 2026 · net of fees · USD
- YTD+5.6%index +10.8%
- 1Y+3.6%index +13.7%
- 3Y · /yr+15.2%index +18.2%
- 5Y · /yr+1.8%index +5.8%
- 10Y · /yr+5.1%index +8.1%
- Inception · /yr+7.3%index +8.4%
Index: MSCI EAFE Small Cap (Net)
| YTD | 1Y | 3Yper year | 5Yper year | 10Yper year | Since inceptionper year | |
|---|---|---|---|---|---|---|
| TimesSquare International Small Cap Portfolio | +5.6% | +3.6% | +15.2% | +1.8% | +5.1% | +7.3% |
| MSCI EAFE Small Cap (Net) | +10.8% | +13.7% | +18.2% | +5.8% | +8.1% | +8.4% |
Since inception: Since Inception (04/01/2012)
Disclaimer
These figures are copied from the manager’s latest letter, as of Sep 30, 2026. They were extracted automatically, have not been verified by HF Best Ideas and may contain errors. They cover a single share class, in the currency and fee basis stated above; other share classes and your own returns will differ. This is not investment advice, nor an offer to buy or sell any fund. Past performance does not predict future returns.
Read full disclosures →What it bought and sold
We sold the full position during the quarter after ABB agreed to a recommended cash offer for the company (see Most Significant Contributors).
We exited the full position during the quarter.
In July during our reunderwriting of the position, we concluded that growth in its revenues, elusive for a few quarters, was not apparent in the near term.
With both a rising rate environment in Japan, and Fukuoka’s exposure to the growth in Kyushu (Japan's "silicon island"), we added to our position throughout the quarter.
We trimmed the position, though we continue to see Rigaku as one of the globally leading Japanese exporters serving structurally growing end markets that we favor.
We reduced the position during the quarter and are reconsidering its place in the strategy.
Sojitz is one of Japan's major sogo shosha (general trading companies), with a diversified global portfolio.
Hill & Smith designs, manufactures and supplies infrastructure products and galvanizing services.
We reduced our position to reflect the persistent inflationary pressure in the UK consumer space.
Our strongest contributors this quarter were Dexerials, a Japanese maker of functional and optical materials, which surged 97% and to which we added earlier in the quarter.
We added to our position on this price weakness.
Meanwhile we added to Tekscend Photomask, a Japanese photomask manufacturer, and OSG, a maker of precision cutting tools.
We trimmed the holding into that gain.
- TrimmedOR RoyaltiesJun 2026
We trimmed our position amid the uncertainty with the stock down -17% for the quarter.
We used the strength in Sumitomo Bakelite and MISUMI to trim both positions.
We used the strength in Sumitomo Bakelite and MISUMI to trim both positions.
After first initiating the position in February, we have been accumulating our position in Koninklijke Heijmans, a Dutch construction and property-development group.
We also trimmed our position in Technip Energies given the recent rally and the potential risk from work delays in the Middle East.
- AddedTekscend PhotomaskJun 2026
Meanwhile we added to Tekscend Photomask, a Japanese photomask manufacturer, and OSG, a maker of precision cutting tools.
We used this price weakness as an opportunity to bulk up the position.
- TrimmedSWCCMar 2026
We also trimmed our holdings in SWCC, whose shares rose 15% on better‑than‑expected results and expanding operating margins across its energy and infrastructure businesses.
We trimmed our position, as a further re‑rating for the company will require stronger organic growth.
We exited our position in Japan’s oldest and largest Internet Service Provider (ISP), Internet Initiative Japan, after the share price declined -17% during the quarter.
We also reduced our position in German forklift truck maker KION Group, which traded down -36% for the quarter.
Also held
Its investment theses
- Rigaku HoldingsSep 2026Rigaku Holdings makes scientific and analytical instruments with advanced X-ray technologies, and the fund sees it as a leading exporter serving structurally growing end markets.
- Nova Ltd.Sep 2026Nova Ltd. provides precision metrology for semiconductor manufacturing, and management sees 2027 as a better setup despite temporary spending skew.
- Hill & SmithSep 2026Hill & Smith designs and supplies infrastructure products and galvanizing services, with high ROIC and exposure to a multi-year U.S. infrastructure cycle.
- OSGJun 2026OSG is a premier maker of high-precision cutting tools benefiting from a rebound in aerospace, automotive, and heavy machinery manufacturing.