Quick Facts
Inception Date:9/28/2007
Total Net Assets:$338.77 Million  (3/31/19)
Expense Ratio:1.05%
Category:Foreign Large Cap Growth
Benchmark:Morningstar Global Markets ex-US
Related Material:
   Fund Fact Sheet Q1 2019
   PM Commentary Q1 2019
   Summary Prospectus

For a full transcript of this video, click here.

Fundamental Growth Investors

Portfolio Managers Bill Kornitzer and Nicole Kornitzer discuss how they attempt to find the most appropriate stocks to invest in from the thousands of companies worldwide.

“Unlike many of our peers, we aren’t trying to pick stocks that are going to be the best performers in the next week or the next quarter, but trying to strive for the best long term performance on a risk adjusted basis over time.”
  ~ Bill Kornitzer, CFA

Morningstar Rating


Overall Morningstar Rating™ based on risk-adjusted returns among 398 Foreign Large Growth funds as of 5/31/19.

Investment Style

Portfolio Manager Insights


International Equities
— The New Market Leaders?

Access Report >>

The Case for Investing Internationally

Access Report >>

Trump Tariffs & the Current State of International Markets

In a recent Q&A, BUFIX portfolio managers provided insightful answers to questions posed regarding the current state of the international markets.

  • What’s your take on the current status of the international market in relation to the U.S. cycle?
  • What is your opinion on President Trump’s recent announcement regarding tariffs?

Access Q&A Recordings >>

Fund Objective & Investment Strategy

The investment objective of the Buffalo International Fund is long-term growth of capital.

The International Fund invests primarily in equity securities of established companies that are economically tied to various countries throughout the world (excluding the U.S.).

For purposes of the International Fund’s investments, “foreign securities” means those securities issued by companies:

  • Organized under the laws of, or with a principal office in, a country other than the U.S. and issue securities for which the principal trading market is in a country other than the U.S.; or
  • That derive at least 50% of their revenues or profits from goods produced or sold, investments made, or services provided in a country other than the U.S., or have at least 50% of their assets in a country other than the U.S.
  • Under normal circumstances, the International Fund does not expect its investments in emerging markets to exceed 35% of its net assets.

When it comes to investing internationally, we believe our approach to stock selection is distinct. We are focused on finding good companies and aren’t constrained by benchmark alignment to countries or industries.

Our approach is based on finding companies with sound business models, exposure to long-term secular growth trends, and attractive risk/return growth and valuation characteristics, which we can own for the long-term.

Nicole Kornitzer, Portfolio Manager

Performance (%)

As of 5/31/193 MO YTD 1 YR 3 YR5 YR10 YRSince Inception
BUFFALO INTERNATIONAL FUND1.5111.30-2.2810.185.368.634.13
  Morningstar Global Markets ex-US Index-2.30  7.04-6.34  6.711.966.481.45
  Lipper International Fund Index-1.76  7.91-7.10  5.731.616.421.30
  Morningstar Foreign Large Growth Category0.6511.33-5.13  6.763.077.351.74
As of 3/31/193 MOYTD1 YR3 YR5 YR10 YRSince Inception
BUFFALO INTERNATIONAL FUND11.2311.230.1810.385.7211.574.18
  Morningstar Global Markets ex-US Index10.1410.14-4.318.243.179.591.72
  Lipper International Fund Index10.6210.62-
  Morningstar Foreign Large Growth Category13.0013.00-

Performance data quoted represents past performance; past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance of the fund may be lower of higher than the performance quoted and can be obtained here. Performance is annualized for periods greater than 1 year. Each Morningstar category average represents a universe of funds with similar objectives.

As of July 27, 2018 the Morningstar Global Markets ex-U.S. Index has replaced the Russell Global (ex-US) Index as the Fund’s primary benchmark. The Advisor believes that the new index is more appropriate given the Fund’s holdings.

3 Year Risk Metrics
vs Morningstar Global Markets ex-US Index (As of 3/31/19)
Upside Capture95.04
Downside Capture77.44
Sharpe Ratio0.86
Hypothetical Growth of $10,000

This chart illustrates the performance of a hypothetical $10,000 investment made in the Fund on the Inception Date. Assumes reinvestment of dividends and capital gains. This chart does not imply future performance.


Portfolio Characteristics
(As of 3/31/19) 
# of Holdings81
Median Market Cap$25.29 B
Weighted Average Market Cap$56.52 B
3-Yr Annualized Turnover Ratio10.78%
Active Share94.30%
Market Capitalization

As of 3/31/19. Market Cap percentages may not equal 100% due to rounding.

Top 10 Holdings
Name of HoldingTickerCountrySector% of Net
KeringKERFranceConsumer Discretionary2.38%
SAP SESAPGermanyTechnology2.32%
Sartorius Stedim BiotechDIMFranceHealth Care2.20%
Carl Zeiss MeditecAFXGermanyHealth Care2.17%
Taiwan Semiconductor ManufacturingTSMTaiwan (China)Technology2.06%
AonAONEnglandFinancial Services2.00%
Schneider ElectricSUFranceIndustrials1.98%
Davide Campari-MilanoCPRItalyConsumer Staples1.93%
LVMH Moet HennessyMCFranceConsumer Discretionary1.92%
As of 3/31/19. Top 10 Holdings for the quarter are not disclosed until 60 days after quarter end. Fund holdings are subject to change and are not recommendations to buy or sell any securities.
Sector Weighting

As of 3/31/19. Security weightings are subject to change and are not recommendations to buy or sell any securities. Sector Allocation may not equal 100% due to rounding.

Top 10 Countries
COUNTRY% of Portfolio
Net Assets
United Kingdom9.5%
Hong Kong2.7%
Taiwan, Province of China2.4%
TOP 10 TOTAL82.1%


Bill Kornitzer, CFA
Portfolio Manager

27 Years of Experience

 View full bio

Nicole Kornitzer, CFA
Portfolio Manager

19 Years of Experience

 View full bio



(As of 3/31/19) — The 1st quarter of 2019 provided a wave of relief across global equity markets as capital markets rebounded from the steep losses of the prior quarter. The positive equity markets can largely be attributed to the Federal Reserve’s dovish change in the direction of monetary policy as they put short-term interest rate hikes on hold and announced an end to its balance sheet runoff. Additionally, prospects for a trade agreement between the U.S. and China appeared to improve, and concerns over the likelihood of a hard exit for Britain leaving the European Union (Brexit) have mostly abated. The Morningstar Global Markets ex-U.S. Index advanced 10.14% during the quarter, virtually recouping the losses incurred in the prior quarter. Investors across the globe basically took the “glass half-full” point of view, as, aside from Fed dovishness, fundamentally not much changed in the global economy.


(As of 3/31/19) — The Buffalo International Fund produced a return of 11.23% for the 1st quarter of 2019, outperforming the Morningstar Global Markets ex-U.S. Index return of 10.14%. Outperformance versus the benchmark was driven by stock selection as sector positioning had a negative impact overall, primarily due to our underweight in Energy and Real Estate, two of the stronger performing areas within the benchmark during the period. Cash was also a drag on relative results given the market’s significant advance. The Fund’s cash position was somewhat elevated throughout the quarter, despite our efforts to continually add to positions during the market weakness of the prior quarter. On the other hand, portfolio weights in Technology (overweight) and Financials (underweight) helped partially offset the negative allocation impact during the quarter.

Top contributors in the period included Sartorius, Kering, and Tomra. Suffice it to say, most stocks were blasting higher and most moves simply reflected reversals of prior quarter declines.

While we experienced positive stock selection overall, our position in Wirecard was the one major detractor to quarterly results. Wirecard, which we’ve discussed in previous updates, was once again beset by short-sellers as they found three new avenues to needle company. While none of the approaches outlined by the short community can be characterized as material to the company’s operations in our view, management continues to have its credibility tested as they search for the appropriate informational response to these sorts of confrontations. Some would say the company’s meteoric rise may have contributed to these attacks as we perceive detailed policies and procedures (bureaucracy) may not have expanded as fast as the company’s revenue. The stock has made a strong contribution to performance for our portfolio since the initial investment, and we have recently reduced our weighting more in line with our view of its current risk profile.


(As of 3/31/19) — Despite the central bank-driven ebullient market performance, global economic growth has continued to languish. We see the potential for global growth to pick up as we move in to the 2nd half of the year as renewed China stimulus, reduced trade tension, and Brexit exhaustion drive sentiment and economic activity. Of course, politics seems to be at the root of much of the current tension, and as political dynamics change, so too may our view of future economic prospects. We will continue to monitor the effects on the industries and companies in which we invest, paying close attention to downside risks while taking advantage of short-term volatility to invest in those companies we believe have solid long-term prospects.

While not immune to a global economic slowdown, we believe our investment approach positions us to identify companies with the potential to grow throughout the economic cycle. Our view is that stocks outside the U.S. have become even less expensive relative to their domestic counterparts, and the heightened level of trade tension with the U.S. may actually increase the potential for internationally-based companies to increase market share. We hope to use any significant market dislocation caused by slowing economic growth or trade concerns to add to positions in companies whose long-term prospects remain unchanged, in our view.

Economic conditions may ebb and flow, but our focus remains steadfast on investing in attractively-priced, financially-strong, well-managed companies with innovative strategies fueled by secular growth trends. We believe this discipline should lead to superior risk-adjusted returns over the long term.

The opinions expressed are those of the Portfolio Manager(s) and are subject to change, are not guaranteed and should not be considered recommendations to buy or sell any security. Earnings growth is not representative of the fund’s future performance.

International Fund News

The Case for Investing Internationally

In this report, we provide insights into several areas that show the potential for increasing returns of international stocks over the long term.

“Why Invest Internationally Now?”

Our International Fund portfolio managers provide a detailed analysis of various global factors they view as key drivers of growth in international markets and discuss why today’s investing environment could be ideal for investors looking to expand their international exposure.

Fundamental Approach

We get to know the companies we invest in and learn how they run their business.

Top-Down & Bottom-Up

We identify Top-Down broad, secular growth trends and search for companies from the Bottom-Up.

Proprietary Philosophy

We construct our portfolios based on our own proprietary investment strategy.

Disciplined Investing

Sticking to our disciplined investment strategy ensures we maintain a consistent, balanced approach.

The Morningstar Rating™ for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. The Overall Morningstar Rating™ for a managed product is derived from a weighted average of the performance figures associated with its three-, five-, and 10-year (if applicable) Morningstar Rating™ metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods.

The Buffalo International Fund received 4 stars among 398 for the 3-year, 4 stars among 339 for the 5-year, and 4 stars among 251 Foreign Large Growth funds for the 10-year period ending 5/31/19.

In each Morningstar Category, the 10% of funds with the lowest measured risk are described as Low Risk, the next 22.5% Below Average, the middle 35% Average, the next 22.5% Above Average, and the top 10% High. Morningstar Risk is measured for up to three time periods (three, five, and 10 years). These separate measures are then weighted and averaged to produce an overall measure for the fund. Funds with less than three years of performance history are not rated. ©2018 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. The Morningstar Style Box™ reveals a fund’s investment strategy by showing its investment style and market capitalization based on the fund’s portfolio holdings.