Investor Summary
Fund Strategy
FUND PERFORMANCE AS OF 31st December 2025
| ANNUALIZED SINCE INCEPTION | QUARTERLY | YTD |
|---|---|---|
| 10.1% | - | 28.5% |
| 2025 | 2024 |
|---|---|
| 28.5% | 11.8% |
| ANNUALIZED SINCE INCEPTION | QUARTERLY | YTD |
|---|---|---|
| 10.1% | - | 28.5% |
| 2025 | 2024 |
|---|---|
| 28.5% | 11.8% |
Horos Asset Management delivered strong 2025 returns with their international and Iberian strategies posting 28.5% and 42.9% respectively, bringing cumulative returns over 13+ years to 409% and 355%. The manager warns that U.S. markets are trading at historically elevated valuations approaching dot-com bubble levels, with extreme concentration in mega-cap stocks and distortions from passive investing reaching 65% of equity assets. He highlights the AI investment boom as potentially creating a rational bubble where companies invest aggressively despite overinvestment risks. Private AI companies are raising capital at unprecedented valuations without products, with some potentially facing $500 billion in losses by 2030. The manager expects 2026 to test market appetite for speculative valuations as major AI companies go public. Meanwhile, precious metals surged with gold up 65% and silver up 145% as investors sought protection against inflation and sovereign debt concerns. Horos continues their value approach, seeking temporarily undervalued companies while avoiding overpriced U.S. markets, adding positions in Zigup and DIA while exiting Spartan Delta and Petershill Partners.
The manager advocates for value investing with common sense, seeking companies that are temporarily undervalued due to setbacks or negative sentiment while avoiding the overvalued U.S. market driven by AI speculation and passive investing distortions.
The manager expects 2026 to be a key year for gauging investment community appetite for speculative AI companies, particularly as major players go public. He remains cautious on U.S. market valuations and continues seeking undervalued opportunities in companies facing temporary challenges.
| Date | Letter | Tickers | Keywords | Pitches | Quick Takes |
|---|---|---|---|---|---|
| Jan 14 2026 | 2025 Q4 | 0086.HK, AAPL, AMZN, ANE.PA, AYV.PA, AZM.MI, DIA.MC, ERG.MC, GEST.MC, GOOG, GOOGL, META, MSFT, NPSNY, NVDA, ONEX.TO, ORCL, TCEHY, TGS, TSLA | AI, Bubble, Concentration, Europe, gold, inflation, Passive investing, value |
AER NPSNY ZIG LN ZEG LN PLX FP SDE CN TCEHY |
The manager discusses the massive investment in AI infrastructure by tech companies, warning of potential overinvestment and bubble dynamics. He compares the current AI race… |
| Nov 5 2025 | 2025 Q3 | 86.HK, ALNT SM, AMG, BIDU, PLX NA, PYPL, SOP FP, XPRO | Artificial Intelligence, Bubble risk, Capital Cycle, Energy Demand, Tech Valuations | - | The commentary details unprecedented AI-related capital expenditure and speculative valuations reminiscent of the dot-com bubble. Massive infrastructure investments by major tech companies raise concerns about… |
| Aug 5 2025 | 2025 Q2 | - | AI, Management Quality, Thematic Investing, Value Investing | - | - |
| Apr 30 2025 | 2025 Q1 | AER, ANE SM, APPL, JUP LN, NEON, PLX FP, SDE CN, SDRL, ZEG | - | - | - |
| Jan 7 2025 | 2024 Q4 | EK5 GR, LBTYA, LSYN CN, NOAH, NPH GR, PLX FP, ZEG LN | - | - | - |
| Oct 31 2024 | 2024 Q3 | AMG, BRK/A, CATO, NOAH, PLX FP | - | - | - |
| Aug 31 2024 | 2024 Q2 | AAPL, LBTYA, NVDA, TSLA, ZM | - | - | - |
| Jun 11 2024 | 2024 Q1 | ALGIL FP, ANIOY, AUB FP, FIH/U CN, GCO SM, LNA FP, MG, NPH GR, NPN SJ, REN SM | - | - | - |
| Feb 13 2024 | 2023 Q4 | 7GE GR, AER, AMG, METC, SDE CN, TGS | - | - | - |
| Oct 25 2023 | 2023 Q3 | 6989 HK, NPH GR, ONEX CN | - | - | - |
| Jul 8 2023 | 2023 Q2 | 39A GR, AAPL, ARHI, AZM IM, ENO SM, GOOG, MEL SM, META, MSFT, NVDA, TGS, TLGO SM | - | - | - |
| Apr 30 2023 | 2023 Q1 | ARHI, ATYM LN, MG, SDE CN, TGS | - | - | - |
| Nov 2 2023 | 2022 Q4 | - | - | - | - |
| Oct 11 2022 | 2022 Q3 | 7GA GR, AER, AM FP, COOL NO, GAMI, PDG LN, SON1 SW, VRLA FP | - | - | - |
| QUARTER | THEMES | TAGS |
|---|---|---|
| 2025 Q4 |
AIAI has become a dominant theme across major equity indices, with Nvidia leading the S&P 500, ASML dominating MSCI EAFE, and TSMC leading emerging markets. The fund benefited from AI-related dynamics, particularly through Samsung's memory products experiencing substantial price increases due to DRAM shortages driven by AI demand. |
Semiconductors Memory DRAM Technology Nvidia |
GoldGold experienced its best annual return since 1979 driven by seemingly insatiable appetite, entering bubble territory. The precious metal drove the Small Resources index to a 45.3% increase in the December half. |
Gold Precious Metals Bubble Resources | |
InflationInflation has continued to be a persistent feature in Japan and has prompted changes in both corporate and consumer behavior. Importantly, inflation has fed through to corporate earnings and equity performance. Companies that have successfully passed on higher costs to consumers have benefited from improved operating margins. |
Inflation Corporate Earnings Operating Margins Consumer Behavior Cost Pass-through | |
Passive InvestingThe manager highlights how passive investing has reached nearly 65% of US equity assets, contributing to market distortions including reduced liquidity, increased volatility, and further concentration in mega-cap stocks. US equity index funds attracted around $650 billion in 2025 while actively managed funds saw record outflows approaching $1 trillion. |
Index Funds Market Concentration Liquidity Volatility Capital Flows | |
ValueBlue Tower focuses on value investing with international diversification. The manager notes that the valuation spread between cheap and expensive stocks is one of the greatest in market history, creating a favorable environment for their value-oriented approach. |
Value International Cheap Expensive Valuation | |
| 2025 Q3 |
AIAI has become a dominant theme across major equity indices, with Nvidia leading the S&P 500, ASML dominating MSCI EAFE, and TSMC leading emerging markets. The fund benefited from AI-related dynamics, particularly through Samsung's memory products experiencing substantial price increases due to DRAM shortages driven by AI demand. |
Semiconductors Memory DRAM Technology Nvidia |
| 2025 Q2 |
AIAI has become a dominant theme across major equity indices, with Nvidia leading the S&P 500, ASML dominating MSCI EAFE, and TSMC leading emerging markets. The fund benefited from AI-related dynamics, particularly through Samsung's memory products experiencing substantial price increases due to DRAM shortages driven by AI demand. |
Semiconductors Memory DRAM Technology Nvidia |
Value Investing |
| Date | Pitch Type | Author | Ticker | Company | Industry | Sub Industry | Bull / Bear | Exchange | Keywords | Action |
|---|---|---|---|---|---|---|---|---|---|---|
| Jan 14, 2026 | Fund Letters | Javier Ruiz | AER | AerCap Holdings N.V. | Industrials | Asset Management & Custody Banks | Bull | New York Stock Exchange | Aircraftleasing, Assetvalue, buybacks, capital allocation, undervaluation | Login |
| Jan 14, 2026 | Fund Letters | Javier Ruiz | NPSNY | Naspers Ltd. | Communication Services | Internet Content & Information | Bull | New York Stock Exchange | buybacks, capital allocation, discount, holding company, Sentiment | Login |
| Jan 14, 2026 | Fund Letters | Javier Ruiz | ZIG LN | Zigup plc | Industrials | Rental & Leasing Services | Bull | New York Stock Exchange | capital discipline, Cost synergies, Incentives, undervaluation, Vehicle leasing | Login |
| Jan 14, 2026 | Fund Letters | Javier Ruiz | ZEG LN | Zegona Communications plc | Communication Services | Telecom Services | Neutral | New York Stock Exchange | buybacks, dividends, restructuring, Special situations, Telecom | Login |
| Jan 14, 2026 | Fund Letters | Javier Ruiz | PLX FP | Pluxee SA | Financials | Transaction & Payment Processing Services | Bear | Euronext Stock Exchange | Brazil, Margins, Payments, Regulation, uncertainty | Login |
| Jan 14, 2026 | Fund Letters | Javier Ruiz | SDE CN | Spartan Delta Corp. | Energy | Oil & Gas Exploration & Production | Bull | New York Stock Exchange | Energy cycle, Execution, exit, natural gas, valuation | Login |
| Jan 14, 2026 | Fund Letters | Javier Ruiz | TCEHY | Tencent Holdings Ltd | Communication Services | Interactive Media & Services | Bull | New York Stock Exchange | cashflow, China, Gaming, platform, Regulation | Login |
| TICKER | COMMENTARY |
|---|---|
| AAPL | The largest 10 companies, by market capitalization, had reached 40.7% of the S&P 500 by the end of 2025, up from roughly 30% at the end of 2021. At the top of this list are Nvidia (NVDA), Apple (AAPL), Microsoft (MSFT), Alphabet (GOOGL), Amazon (AMZN), Broadcom (AVGO), Meta (META), and Tesla (TSLA). Apple: Market capitalization near $4 trillion. A double requires creating a company larger than the size of Walmart, JPMorgan, and Pfizer combined. |
| AMZN | We added to our holdings in Amazon.com Inc. |
| DIA.MC | The other new addition during the period was Spanish supermarket chain DIA. As you may know, this company has been part of Horos Value Iberia in recent years, where we have achieved strong returns. |
| ERG.MC | This quarter, we increased our investment in Ercros following the announcement made in mid-December by the Portuguese company Bondalti to lower the acceptance threshold of its takeover bid for the Spanish chemical firm from 75% to 50%. |
| GEST.MC | Gestamp 3.7% Industrial |
| GOOG | Alphabet's Q4 performance marks a significant triumph, characterized by a rare beat and raise narrative across all critical business segments. The company's recent earnings report was driven by a balanced contribution from its legacy Search and YouTube divisions, with Google Cloud emerging as the standout performer. Cloud's revenue growth reached an impressive 34%, and it boasts an extraordinary $155 billion backlog, a nearly double increase compared to the previous quarter. |
| GOOGL | I'm willing to go bankrupt rather than lose this race. Larry Page, co-founder of Google |
| META | Meta was cited as a larger position that contributed little despite what I thought was positive operating progress, representing opportunity cost in the portfolio. |
| MSFT | OpenAI's well-documented 'circular' funding with its business partners (NVIDIA, Microsoft, among others) is additional cause for concern. |
| NPSNY | Naspers 3.9% TMT |
| NVDA | Nvidia sits at the top of the S&P 500 as the designer in the AI ecosystem. |
| ORCL | Investor enthusiasm for Oracle's stock in calendar year 2025 was initially driven by several multi-billion-dollar contracts it signed with leading AI companies, including OpenAI and Meta. However, in Q4 sentiment for ORCL's growth prospects shifted to skepticism, as investors began to scrutinize the return profile of the substantial capital investments required to support the approximately $500 billion of contracts signed by Oracle. |
| TCEHY | Tencent underperformed relative to broader markets as China tech sentiment softened amid liquidity tightening and profit-taking after strong calendar year performance. |
| TGS | TGS 5.3% Oil & Gas |
| TSLA | The largest 10 companies, by market capitalization, had reached 40.7% of the S&P 500 by the end of 2025, up from roughly 30% at the end of 2021. At the top of this list are Nvidia (NVDA), Apple (AAPL), Microsoft (MSFT), Alphabet (GOOGL), Amazon (AMZN), Broadcom (AVGO), Meta (META), and Tesla (TSLA). |
| 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 | |||