| ANNUALIZED SINCE INCEPTION | QUARTERLY | YTD |
|---|---|---|
| 9.5% | 1.1% | 13.7% |
| 2025 | 2024 |
|---|---|
| 13.7% | 16.5% |
The 1290 SmartBeta Equity Fund delivered positive performance in Q4 2025 amid a global equity rally that saw rotation away from US markets toward undervalued international opportunities. The fund benefited from strong security selection in technology, with AI-related gains driving performance despite emerging valuation concerns. Financials, communication services, and healthcare were the largest positive contributors to absolute returns. However, relative performance was hampered by underperformance in industrials and healthcare, where negative stock selection offset sector positioning. The fund maintained overweight exposure to industrials but suffered from poor selection in professional services and commercial services. Healthcare underperformance stemmed from negative selection in pharmaceuticals and medical equipment despite an underweight position. Global markets showed resilience with UK, European, and Japanese equities hitting record highs, supported by interest rate cuts, strong earnings, and commodity price strength. The quarter demonstrated the fund's technology focus while highlighting the importance of stock selection across sectors.
The fund seeks long-term capital appreciation through diversified equity investments, benefiting from technology sector selection while managing sector allocation risks in industrials and healthcare.
The 1290 SmartBeta Equity Fund is expected to deliver moderate long-term growth, supported by its diversified exposure to U.S. and developed market equities and a factor-based investment approach.
| Date | Letter | Tickers | Keywords | Pitches | Quick Takes |
|---|---|---|---|---|---|
| Jan 30 2026 | 2025 Q4 | FTSE | AI, equities, financials, global, healthcare, industrials, technology | - | Artificial intelligence continued to drive technology rallies during the quarter, though concerns emerged over stretched AI valuations. AI gains benefited Japan's role in the global technology supply chain. |
| Nov 5 2025 | 2025 Q3 | - | AI, China Stimulus, Developed Markets, Fed Rate Cuts, Trade Policy | - | The fund commentary emphasizes strong global equity market performance driven by trade agreements, AI-led growth, and monetary easing. Developed markets set new records, supported by optimism from the first Fed rate cut and Chinese stimulus. The funds strategy benefited from selective sector exposure and avoidance of certain underperforming stocks. |
| Jul 27 2025 | 2025 Q2 | - | dividends, equities, Factors, Smart Beta | - | |
| Mar 31 2025 | 2025 Q1 | - | - | - | |
| Dec 31 2024 | 2024 Q4 | - | - | - |
| QUARTER | THEMES | TAGS |
|---|---|---|
| 2025 Q4 |
AIAI has been integrated into RGA's research process through tools like NotebookLM, Gems in Gemini, and Claude Code. The firm views AI as a force multiplier for human judgment rather than a replacement, emphasizing the Kasparov Law principle. They believe the market narrative around AI displacement is swinging to unhelpful extremes, creating investment opportunities. |
Machine Learning Automation Software Productivity Innovation |
| 2025 Q3 |
HealthcareHealthcare was the strongest relative contributor in the quarter with holdings increasing nearly +16% compared to benchmark returns of roughly +12%. Exact Sciences was acquired for a significant premium by Abbott Laboratories resulting in an +86% return, while other strong performers included Tarsus Pharmaceuticals, Glaukos following approval of a new product, Penumbra, and Repligen driven by strong earnings results. |
M&A Product Approval Earnings Biotech |
| 2025 Q2 |
Equity Income |
|
Factor Investing |
| Date | Pitch Type | Author | Ticker | Company | Industry | Sub Industry | Bull / Bear | Exchange | Keywords | Action |
|---|---|---|---|---|---|---|---|---|---|---|
| No Elevator Pitches found | ||||||||||
| TICKER | COMMENTARY |
|---|
| Ticker | Put/Call | Amount Bought | Shares Bought | % Change | Weight % |
|---|---|---|---|---|---|
| No Recent Buys Data | |||||
| Ticker | Put/Call | Amount Sold | Shares Sold | % Change | Weight % | Status |
|---|---|---|---|---|---|---|
| No Recent Sells Data | ||||||
| Industry | Prev Quarter % | Current Quarter % | Change |
|---|---|---|---|
| No industry data available | |||
