International small-caps delivered mixed Q1 results as AI hardware gains were offset by Iran-driven energy shock. Fund outperformed benchmark despite macro headwinds, with rare earths and energy beneficiaries leading while European consumer and Japanese manufacturing names lagged. Managers maintain conviction in structural AI, defense, and governance themes, viewing March selloff as creating more attractive valuations.

Tactile Fund targets companies with extraordinary physical assets globally, rising 1% in Q1 despite Iran war pressures on tourism holdings. Portfolio includes Gruma dominating global tortilla markets and Robertet serving luxury perfume industry. Manager confident tangible assets provide valuable counterweight to intangibles-dominated markets, positioned for long-term demand growth despite near-term geopolitical headwinds.

ClearBridge Large Cap Value outperformed as value leadership broadened with Russell 1000 Value up 2.1% versus growth. Strategy benefited from quality industrial holdings and energy overweight amid U.S.-Iran conflict. Active repositioning included initiating T-Mobile, exiting Disney and Comcast, buying Honeywell. Managers maintain focus on durable competitive moats through complex macro backdrop.

Old West returned 16% in Q1 as energy holdings surged on Middle East conflict driving oil from $61 to $118. Portfolio positioned at intersection of AI and physical economy, owning energy, mining, and infrastructure assets. Manager believes AI's growth makes economy more physical, not less, creating opportunities in copper, natural gas, and critical materials.

Concentrated value strategy underperformed in Q1 as energy holdings outperformed while software names declined on AI fears. Manager views AI disruption concerns as overstated and used weakness to add Gartner. Portfolio actively rebalanced toward undervalued software and financials. Positioned for valuation dispersion to narrow with attractive portfolio characteristics.

International value strategy underperformed in Q1 2026 despite strong semiconductor and mining contributions. Manager actively repositioned portfolio with six new initiations, focusing on companies trading at significant discounts to intrinsic value. Believes current market volatility and short-term noise create opportunities for disciplined investors emphasizing long-term business fundamentals over headlines.

FPA Queens Road outperformed in Q1 2026 while continuing to upgrade portfolio quality through disciplined stock selection. The managers added positions in title insurer First American Financial and auto parts manufacturer Dorman Products, both trading at attractive valuations with strong fundamentals. They maintain conviction that small-caps offer compelling opportunities for patient value investors focused on balance sheet strength and earnings consistency.

Diamond Hill's Large Cap Fund underperformed in Q1 due to limited AI exposure while benefiting from energy positioning amid Iran war. Technology holdings like Adobe and Microsoft faced AI disruption concerns but trade at attractive valuations. New positions in Microsoft, Kimberly-Clark, and Carrier Global capitalize on temporary weakness in quality businesses.

International small cap fund declined 8.12% in Q1 2026 but managers remain disciplined on undervalued opportunities. Jenoptik led gains on semiconductor recovery while new positions DTS and Minor International capitalize on Japan digitization and hospitality deleveraging themes. Portfolio emphasizes long-term fundamentals over short-term market noise with meaningful discounts to intrinsic value.

Baron Focused Growth declined 4.99% in Q1 on AI fears and Iran war concerns, but SpaceX-xAI deal provided strong offset. Portfolio companies maintain strong fundamentals with balance sheets enabling buybacks. Accelerated insider purchases across holdings reinforce attractive valuations. Managers increased positions while adding new names, viewing portfolio as compelling with favorable risk/reward profile.

Broadleaf declined 8.3% in Q1 2026 amid Iran war, private credit blowups, and AI fatigue morphing into software sector disruption. Manager adopts waiting strategy given binary risks and lack of conviction despite daily trade considerations. Believes fundamentals remain strong for AI spending beneficiaries and hyperscalers long-term.

Orbis outperformed in volatile Q1 2026 through disciplined contrarian positioning. Semiconductor winners from AI boom offset healthcare losers from regulatory pressures and financial irregularities. Strategic energy additions provide geopolitical protection while software sell-off created selective opportunities. Portfolio turnover reflects active adaptation to changing conditions while maintaining long-term investment discipline and positive skew focus.

Harris Oakmark advocates ignoring market noise and crowd sentiment while maintaining patience in value investing. Q1 2026 saw extreme AI-driven stock dispersion and Iran conflict volatility. The manager believes enterprise software companies like SAP are oversold on AI fears when AI could be additive. They maintain disciplined focus on intrinsic business values over short-term market movements.

Quality-focused fund suffered severe valuation contraction despite strong business fundamentals, with primary metric falling from 37x to 19x. AI and private credit narratives drove selling in software and alternative asset manager holdings. Manager sees compelling opportunity as high-quality businesses trade at lowest valuations since 2018, expecting medium-term recovery as oversold multiples normalize.

Growth equity strategy down 9.4% in volatile Q1 marked by AI fears and Iran war. Manager trimmed semiconductor winners, added beaten-down software quality at attractive valuations. Maintains conviction that enterprise software with deep IT integration benefits from AI rather than faces disruption. Focus on quality growth companies positioned for long-term AI adoption cycle.

Q1 2026 markets were upended by Iran conflict escalation in March, disrupting global energy supplies and sparking stagflation fears. The S&P 500 fell 4.3% as geopolitical risks dominated, reversing earlier optimism. Energy prices surged while defensive sectors outperformed. With policy tools constrained and risks elevated since the pandemic, prudent positioning is essential.

Liquidating fund holds £33.8 million in assets: Nexon (£24.0 million) and cash (£9.4 million). Management seeks fair Nexon sale opportunity in 2026 after no suitable offers in late 2025. Cash distribution deferred due to small payment amounts and administrative costs. Settlement Scheme remains inactive with no payments since March 2024.

Far View Partners is a concentrated global value fund targeting special situations with 10-20 positions and multi-year holding periods. The fund declined 4.01% in Q1 2026 versus benchmark decline of 3.10%, with 83.85% cumulative returns since 2011 inception compared to 306.00% for MSCI ACWI.

Technology industry letter documenting AI's Q1 2026 inflection point where agentic AI began autonomously handling complex infrastructure tasks like NVIDIA GPU cluster configuration. Author commits to human-written content despite AI capabilities, viewing this as competitive differentiation. Business updates include analyst arm expansion and growing Substack revenue reaching 100K monthly views.

Bianco Research moved to neutral duration as Iran conflict drives oil near $100 and 10-year yields above 4.25%. Maintaining underweight credit while positioning conviction trades in TIPS, high-yield, and EM debt for snapback recovery when Strait of Hormuz reopens and conflict resolves.

TIFF navigates Middle East energy disruption and AI uncertainty in Q1 2026. Iran's Strait of Hormuz closure threatens 20% of oil supply while AI fears pressure SaaS stocks like SAP despite strong fundamentals. The manager believes AI will boost productivity rather than destroy jobs, positioning tactically with options and short duration while maintaining cautious optimism for markets if conflicts resolve quickly.

Market concentration reached historic extremes in 2025 with AI infrastructure and unprofitable companies dominating returns. Quality businesses trade at historically cheap multiples while the market remains levered to a singular AI theme. This creates significant opportunities for active managers to capitalize on valuation disparities between winners and losers.

Baumann's Primary Research Fund added SOL Group, combining Europe's leading industrial gas franchise with the largest home respiratory care provider. The dual-engine model benefits from aging demographics and healthcare system shifts while creating regional oligopolies through century-built infrastructure. The manager prioritizes AI-resistant, durable businesses that can compound for decades over traditional valuation metrics.

Commodity bull market in early stages with energy offering best opportunities as Hormuz closure exposes oil market tightness. Silver's parabolic rally triggers precious metals sell signal while uranium demand surges amid supply constraints. Chinese copper demand stalls, creating surplus conditions. Coal surprisingly rebounds on data center demand. Energy commodities most undervalued globally.

PCM sees current geopolitical tensions and AI disruption as temporary headwinds against a backdrop of healthy market broadening and strong earnings growth. The bull market remains intact with 14% projected S&P earnings growth in 2026. Historical precedent shows long-term investors with quality portfolios weather uncertainty successfully as equity markets trend upward over time.

Atai Capital's concentrated micro-cap strategy delivered strong 2025 returns despite Q4 underperformance. The fund maintains elevated cash levels due to limited attractive opportunities but stands ready to deploy capital as recent macroeconomic volatility creates potential investments. The manager continues evolving toward quality names while prioritizing selectivity over forced deployment in an unfertile market environment.

Peterson Investment Fund I's 63.8% return in 2025 demonstrates the power of concentrated value investing in exceptional businesses. The fund's systematic approach combines rigorous fundamental analysis, disciplined entry pricing through structured options, and patient capital allocation across a focused portfolio of compounding machines like Alphabet, Berkshire, and Alibaba, delivering 13.7% annualized returns since inception.

RiverPark Large Growth Fund focuses on high-quality large-cap companies benefiting from secular growth in AI, cloud computing, and healthcare innovation. Despite Q4 underperformance, the fund maintains conviction in concentrated positions across technology leaders and healthcare innovators, emphasizing businesses with durable competitive advantages and strong cash flow generation potential for long-term compounding returns.

Oceana emphasizes price discipline over political predictions in Brazilian markets. Following 2024's extreme pessimism, Brazilian equities rose 34% in 2025 as valuations normalized. Portfolio's implied real IRR declined from 15%+ to 11.6% but remains adequate for compounding returns. Firm maintains focus on quality assets with margin of safety ahead of 2026 elections, viewing valuation as better protection than narrative timing.

RiverPark Long/Short returned 0.13% in Q4 2025, increasing net exposure to 78.91%. Strong performance from Alphabet, Eli Lilly, and Intuitive Surgical was offset by weakness in Netflix, CoreWeave, and Uber. The fund maintains concentrated exposure to AI, healthcare, and technology themes while shorting businesses with deteriorating fundamentals and unsustainable models.

Fairfax delivered record results with $4.8 billion net income and 21% book value growth. The decentralized insurance business generated $1.8 billion underwriting profit while investment gains drove 9.3% portfolio returns. Strong balance sheet supports $1.6 billion in buybacks. Management sees continued opportunities in India and quality global investments despite warning of extreme U.S. market valuations.

Loeb navigates AI-driven market chaos by focusing on undervalued companies with defensible positions less susceptible to immediate AI displacement. Sold NVO for competitive reasons, added to DAVA as undervalued versus peers, initiated FND as long-term value play on margin recovery. Remains open-minded about AI paths while seeking opportunities in current disruption.

Aristotle Core Equity outperformed the S&P 500 in Q4 2025 through strong healthcare and consumer discretionary stock selection, despite AI infrastructure concerns pressuring tech holdings. The manager added exposure to business services, crypto infrastructure, and food distribution while maintaining focus on companies with secular tailwinds amid elevated valuations and broadening economic growth expectations for 2026.

Bireme Capital delivered 33% returns in 2025 by shorting overvalued US stocks while buying discounted international equities. The manager sees American institutional decay accelerating under current administration while US markets trade at bubble-like valuations amid extreme speculation. International markets offer compelling alternatives at significant discounts, positioning the portfolio for continued outperformance as these trends persist.

Bumbershoot delivered 13% returns through concentrated positions in technology, materials, and industrials while preparing for the next substantial reflation cycle. As market narratives narrow and credible opportunities become scarce, the fund's disciplined selection process and willingness to hold concentrated positions longer positions it well for an environment where stock-picking expertise will be paramount.

Polen 5Perspectives Small-Mid Growth delivered modest Q4 underperformance but strong 28.86% annual returns, significantly outpacing benchmarks. Portfolio benefits from AI infrastructure demand through Bloom Energy and Sandisk, while maintaining conviction in Electrification and Aerospace themes. Management focuses on innovation-driven structural opportunities rather than macro timing, positioning for continued SMID cap disruption and growth.

Voss Value underperformed in Q4 2025 due to software overweight amid AI hysteria, but maintains conviction that incumbents with domain expertise will successfully integrate AI capabilities. Key holdings include undervalued software companies PAR, Cellebrite, and Flywire, plus new hotel franchisor Choice Hotels at historically low valuations with significant re-rating catalysts including potential major cash unlock.

SaltLight delivered 30.78% returns in 2025 through their opportunity maximalist approach, positioning for the ongoing AI revolution while taking profits in hyperscalers and increasing NVIDIA exposure. They see asymmetric opportunities in compressed software valuations where AI disruption fears are already priced in, and participated in Cell C's IPO at compelling valuations.

Voss Value underperformed in Q4 2025 due to AI-driven software sell-offs, but maintains conviction in incumbent software companies with structural moats and asset-light businesses at distressed valuations. Key positions include Flywire at 6x EBITDA despite strong growth and Choice Hotels with multiple re-rating catalysts at historic lows.

AI disruption has created indiscriminate selling in software stocks, presenting value opportunities in quality companies with strong fundamentals. Cove Street Capital has positioned in names like Clarivate while warning of systemic risks in private credit markets and potential Fed policy changes. The manager focuses on fundamental work over market timing, believing current messiness creates opportunities.

Concentrated value fund targeting 3x+ upside opportunities delivered 137% cumulative returns over 5+ years. Manager recently initiated distressed petrochemical bonds position in Braskem Idesa, viewing default as liquidity issue with significant asymmetric upside. Avoids gold, preferring productive assets. Six new positions added as core holdings appreciated, maintaining extreme price-to-value discount discipline.

Recurve delivered +10% net returns in 2025 despite low batting average, powered by Carvana's 100x recovery from 2022 lows. The strategy targets disruptive companies in stable industries combining physical infrastructure with proprietary technology, positioning them as AI-durable. Recent software sector weakness creates opportunities while portfolio companies leverage technology internally rather than as vulnerable end products.

TYME Advisors delivered strong annual outperformance through a quality-focused long/short strategy emphasizing defense spending, gold exposure, and capital markets. Key moves included exiting Bitcoin and rotating to US large caps, while maintaining structural themes around global rearmament and precious metals. The disciplined approach combines systematic risk management with exposure to long-term structural trends across equities and alternatives.

Hennessy Balanced Fund systematically invests 50% in the highest dividend-yielding Dow stocks and 50% in short-term Treasuries. This Dogs of the Dow approach delivered 9.89% returns in 2025 while providing balanced exposure between income-generating equities and capital preservation through government securities, though formula-based investing creates inherent inflexibility risks.

Balanced fund targeting long-term capital growth and income through 70% equity allocation in high-quality dividend-paying companies and 30% fixed income securities. Emphasizes downside protection and reduced volatility with focus on shareholder-oriented management and intermediate-term bonds. Currently concentrated in Financials sector with 4.42-year average bond maturity.

Concentrated technology fund investing in 60 equally-weighted stocks selected through quantitative screening for cash flow generation, profitability, and attractive valuations. High turnover strategy rebalanced quarterly with focus on companies exceeding $175 million market cap. Strong historical performance with significant volatility typical of technology sector concentration.

Hennessy Cornerstone Growth Fund uses a quantitative formula to select 50 US growth stocks with strong price momentum, earnings growth, and attractive valuations. The fund maintains equal weightings and rebalances annually, currently concentrated in Financials. The systematic approach combines growth and value factors but faces risks from formula constraints and high turnover.