The curated database of hedge funds that publish investor letters. Research by geography, strategy, and schools of thought.
| # | Fund | Strategy | Style | Geography | AUM | Latest Letter |
|---|---|---|---|---|---|---|
As of Oct 26, 2026
Next Century Growth Investors Small Cap Growth Composite returned -16.41% net of fees in the third quarter of 2026, trailing the Russell 2000 Growth Index benchmark return of -9.38%. Despite the quarterly consolidation, the strategy maintains a substantial year-to-date net gain of 18.99% net of fees versus 10.70% for the benchmark, and an annualized return of 11.18% net of fees since inception. Portfolio positioning remains anchored in high-conviction growth opportunities, with cash representing 4% of assets, while sector exposures are tilted heavily overweight in industrials at 27% and technology at 29% against benchmark weightings of 18% and 17% respectively. Macroeconomic crosscurrents reasserted volatility across financial markets during the quarter. The breakdown of the U.S.-Iran ceasefire in July disrupted energy transit corridors, driving Brent crude toward $100 per barrel and re-accelerating headline inflation to 3.4%. Consequently, the Federal Reserve raised its policy rate by 25 basis points in September, while the 10-year Treasury yield surpassed 5%. This tighter monetary backdrop pressured rate-sensitive smaller-capitalization equities and prompted rotation toward cash-rich mega-cap technology leaders. Portfolio activity was marked by active rotation to capitalize on valuation dispersion. The manager added 15 new positions, including software entries such as Workiva ($WK), Unity Software ($U), and Bandwidth ($BAND), specialty insurers including Kinsale Capital ($KNSL) and Ryan Specialty ($RYAN), and healthcare holdings like Repligen ($RGEN). Concurrently, the team exited 10 positions to zero, including Modine Manufacturing ($MOD), AAON ($AAON), and Alignment Healthcare ($ALHC), trimming cyclical AI infrastructure exposure in favor of resilient business models.
NCG seeks to compound long-term capital by investing in high-quality, rapidly growing small-capitalization businesses with durable competitive advantages, robust balance sheets, and substantial earnings power, strictly managed under a disciplined sell process.
The fundamental backdrop for high-quality growth investing remains constructive as corporate earnings grow faster than share prices, allowing multiples to compress across multi-year AI and re-industrialization cycles.
Moderate Conviction Bullish
Market Conviction
Growth Outlook
Risk Appetite
Capital Deployment
Forward Guidance
Language Signal
Perceived Risk
Opportunity Density
Time Horizon
Top Conviction Themes
Key Catalysts
Every insight in this database connects to the original source. Read the actual thesis, see the actual concerns, and make your own call.
Buyside Digest has no business relationship, partnership, agency, sponsorship, endorsement, or affiliation with NCG Small Cap Growth Strategy or any other manager whose content appears on the Service, except where expressly stated. We do not receive Manager Content directly from managers in most cases; content is collected from publicly available sources. Managers have not necessarily reviewed, approved, authorized, or endorsed our display of their content, our editorial commentary, our metadata extraction, or our classifications. Use of a manager’s name is for accurate attribution and identification purposes only, under principles of nominative fair use.
Buyside Digest does not independently verify the regulatory status, registrations, licensing, qualifications, credentials, or professional standing of managers whose content appears on the Service. We do not represent that managers are properly registered with applicable regulatory bodies, that their content complies with applicable securities laws, or that their performance representations are accurate. Inclusion of a manager in our database is based on the publicly available nature of their content, not on our verification of their regulatory status or content compliance. Users are responsible for conducting their own due diligence on any manager.
Performance data, returns, assets under management (“AUM”), and similar figures displayed on this page are sourced from publicly available manager communications (including investor letters), public filings, or other third-party sources. Buyside Digest does not independently verify performance figures, calculate returns, or audit manager-reported data. Such figures: May be selectively reported by the manager; May use non-standard calculation methodologies; May not reflect fees, expenses, taxes, or other costs; May be inconsistent across reporting periods; May be outdated. Past performance is not indicative of future results. Performance figures should not be relied upon for investment decisions without independent verification. Users should request audited performance data directly from the manager and conduct their own due diligence.