S000010413 [Member] Investment Strategy - AB International Value Fund |
Jun. 30, 2026 |
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| Prospectus [Line Items] | |
| Strategy [Heading] | PRINCIPAL STRATEGIES |
| Strategy Narrative [Text Block] |
The
Fund invests primarily in a diversified portfolio of equity securities of established companies selected from more than 40 industries
and more than 40 developed and emerging market countries. These countries currently include the developed nations in Europe
and the Far East, Canada, Australia and emerging market countries worldwide. The
Fund invests, under normal circumstances, at least 80% of its net assets (plus any borrowings for investment purposes) in equity securities
of companies meeting the Adviser’s value criteria. For purposes of this policy, companies meeting the Adviser’s
value criteria are those companies with securities included in any one of the following indexes: the MSCI ACWI IMI Value, the MSCI ACWI
IMI Value Weighted, and the Morningstar Global All‑Cap Value TME. Under normal market conditions, the Fund invests significantly
(at least 40% unless market conditions are not deemed favorable by the Adviser) in securities of non‑U.S. companies. In addition,
the Fund invests, under normal circumstances, in equity securities of companies located in at least three countries.
The Fund invests in companies that are
determined by the Adviser to be undervalued, using a fundamental value approach. In selecting securities for the Fund’s portfolio,
the Adviser uses its fundamental and quantitative research to identify companies whose stocks are priced low in relation to their perceived
long-term earnings power.
The Adviser’s fundamental analysis
depends heavily upon its large internal research staff. The research staff begins with a global research universe of international and
emerging market companies. Teams within the research staff cover a given industry worldwide to better understand each company’s
competitive position in a global context. The Adviser typically projects a company’s financial performance over a full economic
cycle, including a trough and a peak, within the context of forecasts for real economic growth, inflation and interest rate changes. The
Adviser focuses on the valuation implied by the current price, relative to the earnings the company will be generating five years from
now, or “normalized” earnings, assuming average mid‑economic cycle growth for the fifth year.
The Fund’s management team and
other senior investment professionals work in close collaboration to weigh each investment opportunity identified by the research staff
relative to the entire portfolio and determine the timing and position size for purchases and sales. Analysts remain responsible for monitoring
new developments that would affect the securities they cover. The team will generally sell a security when it no longer meets appropriate
valuation criteria, although sales may be delayed when positive return trends are favorable.
Currencies can have a dramatic impact
on equity returns, significantly adding to returns in some years and greatly diminishing them in others. The Adviser evaluates currency
and equity positions separately and may seek to hedge the currency exposure resulting from securities positions when it finds the currency
exposure unattractive. To hedge a portion of its currency risk, the Fund may from time to time invest in currency-related derivatives,
including forward currency exchange contracts, futures contracts, options on futures contracts, swaps and options. The Adviser may also
seek investment opportunities by taking long or short positions in currencies through the use of currency-related derivatives.
The Fund may enter into other derivatives
transactions, such as options, futures contracts, forwards, and swaps. The Fund may use options strategies involving the purchase and/or
writing of various combinations of call and/or put options, including on individual securities and stock indices, futures contracts (including
futures contracts on individual securities and stock indices) or shares of exchange-traded funds (“ETFs”). These transactions
may be used, for example, in an effort to earn extra income, to adjust exposure to individual securities or markets, or to protect all
or a portion of the Fund’s portfolio from a decline in value, sometimes within certain ranges.
The Fund may, at times, invest in shares
of ETFs in lieu of making direct investments in equity securities. ETFs may provide more efficient and economical exposure to the type
of companies and geographic locations in which the Fund seeks to invest than direct investments. The Fund may invest in depositary receipts,
instruments of supranational entities denominated in the currency of any country, securities of multinational companies and “semi-governmental
securities”, and enter into forward commitments.
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