In the fourth quarter of 2025, the Allspring Emerging Growth Fund showcased a robust performance, driven by strategic investments in sectors poised for significant expansion. The aerospace industry, specifically, proved to be a fertile ground for growth. Companies like ATI Inc. capitalized on the substantial backlogs of aircraft orders from major manufacturers such as Boeing and Airbus. This resurgence in demand, following years of underinvestment and production delays, positioned ATI to benefit significantly from increased output and market penetration. Simultaneously, Carpenter Technology Corp., a leader in specialized metal alloys for aerospace, medical, and industrial applications, also demonstrated strong potential for upward mobility, ready to leverage the expanding market needs.
Beyond aerospace, the fund’s success was further bolstered by astute allocations in the technology and education sectors. Commvault, a prominent cybersecurity firm, played a crucial role by providing essential data protection services. Its offerings, which include comprehensive backup solutions for operating systems, enable companies to swiftly recover from cyberattacks by restoring previous system versions. This capability is increasingly vital in a digital landscape fraught with evolving threats. Furthermore, Adtalem Global Education, a key player in higher education, reported impressive revenue growth during the quarter and reaffirmed its positive financial outlook for the full year, underscoring the resilience and strategic value of its educational platforms.
These strategic investments reflect a forward-looking approach to identifying and supporting companies that are not only adapting to current market demands but are also poised to shape future industries. By focusing on innovation, essential services, and growth sectors, the fund aims to foster progress and create lasting value, contributing to a dynamic and prosperous economic landscape.