| ANNUALIZED SINCE INCEPTION | QUARTERLY | YTD |
|---|---|---|
| 0.350 | -0.072 | 0.795 |
| 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|
| 79.5% | 11.7% | 17.6% | -30.7% |
Ryan Reeves discusses a challenging quarter marked by the complete liquidation of Intellego after the CEO was arrested for fraud, highlighting the importance of character assessment in investment decisions. Despite this setback, the fund maintains strong conviction in core holdings across diverse growth sectors. Nu Holdings continues expanding its super app model from Brazil into Mexico, demonstrating the replicability of its lean banking approach. MercadoLibre sustains exceptional execution with its e-commerce/payments flywheel, outcompeting major platforms through vertical integration. TransMedics revolutionizes organ transplants with 22 private jets performing 30 daily procedures, creating competitive moats through operational density. The fund initiated a new position in Duolingo after a 70% decline, viewing it as an engagement machine rather than just language learning, with exceptional user retention rivaling social media platforms. Sanuwave maintains strong growth in medical devices despite temporary headwinds. The manager emphasizes long-term thinking as a competitive advantage, focusing on compounding returns through partnerships with exceptional entrepreneurs building high-quality, fast-growing businesses at attractive valuations.
Focus on exceptional entrepreneurs building high-quality, fast-growing companies at attractive valuations with emphasis on long-term compounding and geographic diversification across fintech, e-commerce, medical devices, and education technology sectors.
Manager maintains focus on hitching a ride with world's best entrepreneurs running fastest-growing, highest-quality companies at attractive valuations. Emphasizes long-term thinking as competitive advantage and expects continued compounding benefits over time, particularly after the 20-year mark when real mind-bending math takes place.
| Date | Letter | Tickers | Keywords | Pitches | Quick Takes |
|---|---|---|---|---|---|
| Jan 13 2026 | 2025 Q4 | DUOL, MELI, NU, SNWV, TMDX | E-Commerce, Education, Fintech, growth, Latin America, long-term, Medical Devices, technology |
NU TMDX MELI DUOL |
MercadoLibre continues to demonstrate exceptional execution with its e-commerce/payments flywheel spinning fast even at $25 billion revenue. The company has successfully outcompeted strong marketplaces like… |
| Oct 1 2025 | 2025 Q3 | INT SS, PHX AU, TMDX | Distribution, healthcare, Medtech, regulation, technology | TMDX US | Infuse frames the opportunity set around market dislocations created by volatility, forced selling, and capital structure complexity. The manager emphasizes flexible positioning across equities and… |
| Jul 1 2025 | 2025 Q2 | - | asymmetry, earnings growth, moats, probabilities, valuation | - | The letter centers on probability-weighted investing and exploiting asymmetric payoffs where downside is limited and upside is substantial. Management stresses valuation discipline, business quality, moats,… |
| Apr 4 2025 | 2025 Q1 | - | - | - | - |
| Jan 6 2025 | 2024 Q4 | 0RNZ LN, AXON, HFG GR, INT SS, MELI, NU, NVDA, TSLA | - | - | - |
| Oct 2 2024 | 2024 Q3 | INT SS | - | - | - |
| Jul 2 2024 | 2024 Q2 | - | - | - | - |
| Apr 1 2024 | 2024 Q1 | NU, NVDA | - | - | - |
| Jan 11 2024 | 2023 Q4 | AXON, CELH, MELI, NU, SLYG, TSLA | - | - | - |
| Oct 4 2023 | 2023 Q3 | SLYG | - | - | - |
| Jul 7 2023 | 2023 Q2 | MELI | - | - | - |
| Apr 5 2023 | 2023 Q1 | AXON | - | - | - |
| QUARTER | THEMES | TAGS |
|---|---|---|
| 2025 Q4 |
E-commerceThe portfolio maintains exposure to e-commerce platforms and enablement technologies through holdings like Amazon and Shopify. The fund views e-commerce as benefiting from secular shifts in consumer behavior and continued digital commerce adoption across retail categories. |
Platforms Digital Retail Consumer Technology |
FinTechThe fund continues its growth approach to investing in financial and financial-related companies, including payment businesses, financial exchanges, and data providers that enable financial transactions. The common denominator across all holdings is the use of technology and data to better serve customers and grow at above-average rates. |
Payments Digital Banking Financial Technology Data Analytics Financial Software | |
Medical DevicesHoldings include Ceribell for portable EEG technology and Stevanato Group for pharmaceutical packaging. Ceribell surged 91% after FDA clearance for neonatal applications, while Stevanato faced conservative guidance despite beating expectations. |
EEG Technology FDA Clearance Pharmaceutical Packaging Medical Technology Healthcare Innovation | |
SoftwareSoftware sector faces significant overweight headwinds despite being cheaper than traditional value industrials. Market treating software as monolithic despite meaningful differences between companies. Incumbents possess structural advantages through engineering talent, proprietary data, and customer relationships that position them to successfully integrate AI capabilities. |
Technology SaaS Enterprise Vertical Integration | |
| 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 |
MedTech |
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Technology |
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| 2025 Q2 |
Asymmetry |
| Date | Pitch Type | Author | Ticker | Company | Industry | Sub Industry | Bull / Bear | Exchange | Keywords | Action |
|---|---|---|---|---|---|---|---|---|---|---|
| Jan 13, 2026 | Fund Letters | Ryan Reeves | NU | Nu Holdings Ltd. | Financials | Digital Banks | Bull | New York Stock Exchange | Digitalbanking, Fintech, scale, Superapp, underwriting | Login |
| Jan 13, 2026 | Fund Letters | Ryan Reeves | TMDX | TransMedics Group, Inc. | Health Care | Medical Devices | Bull | NASDAQ | healthcare, innovation, Logistics, scale, Transplants | Login |
| Jan 13, 2026 | Fund Letters | Ryan Reeves | MELI | MercadoLibre, Inc. | Consumer Discretionary | E-Commerce | Bull | NASDAQ | ecommerce, Flywheel, Logistics, Payments, scale | Login |
| Jan 13, 2026 | Fund Letters | Ryan Reeves | DUOL | Duolingo, Inc. | Consumer Discretionary | Education Technology | Bull | NASDAQ | AI, Edtech, Engagement, growth, Subscriptions | Login |
| Oct 1, 2025 | Fund Letters | Ryan Reeves | TMDX US | TransMedics Group, Inc. | Health Care | Medical Devices | Bull | NASDAQ | growth, healthcare, innovation, Logistics, Margins, Medical devices, Transplants | Login |
| TICKER | COMMENTARY |
|---|---|
| DUOL | I have followed the company closely since the IPO since my wife was an avid user, not wanting to break her streak in learning Italian. I thought growth would drop off a cliff after COVID as happened with many other companies, and yet, quarter after quarter the company continued to execute. In fact, there are only four companies I can find that have grown revenues greater than 30% for at least the last 20 quarters in a row – MercadoLibre, Axon, Hims, and Duolingo. To have that growth endurance, you've got to be doing something right! Well, the stock was down almost 70% after the valuation got far too rich and management made it very clear they were prioritizing learning over monetization for 2026. That is the right call in my opinion, considering what the core competency of the company is. Duolingo shouldn't be thought of as a language learning app, it's an engagement machine that happens to educate. In service of its mission to make education widely available, it built the data-driven muscle of engaging users. To learn anything, the most difficult part is motivation and that is what Duolingo is good at. In fact, almost 40% of monthly users log into the app every day. For context, Snapchat is at 50%! You're telling me that an app that teaches you Spanish almost has the same level of engagement as the app where teens do all of their communication? As the company broadens its education subjects like math, music, chess, and other areas, retention should increase even more. If you get bored of learning a language, you can hop over to play some chess. And AI will allow the company to create better content for their current subjects and accelerate the broadening of the platform. Paired with the engagement muscle, Duolingo very well could become a must-have app for learning all sorts of things. This vision will take time but it's actually the exact vision of the CEO/founder. The main bear cases are AI translation and that no one actually learns anything. On the latter, it's up to the user. Duolingo can't force you to learn anything. But yes, education apps typically have very high churn. The fact that Duolingo is able to increase paid subs at a rapid rate despite the leaky bucket is incredibly impressive. On the former, language learning isn't all about practicality. For a large portion of users, they're trying to learn English and they actually really want to understand the language rather than use AI translating glasses. And secondly, Duolingo includes a structure for habit formation. The company is already embedding AI into its content program with its Max Tier so as the models improve, so should Duolingo's product. It's easy to say that high engagement, alone, isn't a moat and I'd agree but the company's core competency is A/B testing and therefore, the product improves at a much higher rate than competitors as it scales. We paid ~18x FCF, inclusive of stock-based comp. That's not super cheap but for a company with an exceptional founder and growth endurance rivaling our long-time holdings, MercadoLibre and Axon, we decided to finally start a position. |
| MELI | E-commerce Volatility: turbulence in our e-commerce portfolio companies, Sea Ltd (Southeast Asia) and MercadoLibre (Latin America), amidst aggressive price wars. |
| NU | Since our mid-year update, Nubank's shares increased 37%, bringing full-year performance to +63%. This performance has been driven primarily by fundamentals, with earnings growing approximately 42% over the same period. Brazil remains a powerful profit engine, with high customer engagement, improving risk-adjusted returns, and expanding penetration across consumer and SME banking. Mexico continues to emerge as the next major growth vector: customer penetration has reached ~14% of the population. |
| SNWV | The company sells the UltraMist device, which has a razor and blades business model for treating diabetic foot ulcers, among other wounds. It had a slight growth hiccup in Q3 as they built out their sales organization and the industry is facing a shifting landscape but growth should resume. There just aren't many profitable medtech companies growing faster than 30%. The CEO is very smart and he runs a healthcare hedge fund in parallel so you can be sure the capital allocation is practical. Sanuwave was also able to refinance its debt, saving several millions dollars per year. The stock now trades for around 18x my forward EBIT estimate which is reasonable for a high quality business with plenty of runway. |
| TMDX | TransMedics has single-handedly changed the organ transplant process. In sticking with its mission to save lives, the company now owns 22 private jets and is doing roughly 30 organ transplants every single day. As density continues to grow, it becomes more difficult to compete with since the company's cost per transplant decreases relative to competitors. The market size is the biggest risk here but if TransMedics continues to enable donor after circulatory death (DCD) transplants, it will grow the entire market as fewer organs will be wasted. |
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