Meditation Capital pivots from AI infrastructure concerns to health insurance margin recovery plays. Sold GitLab on AI disruption fears, built large positions in Elevance and Molina targeting 25-34% IRRs from policy repricing post-2025 cost overruns. Cautious on AI capex bubble while positioning for application value creation in 2026.

Appalaches Core LO delivered 16.5% net returns with 6.1 points of alpha through concentrated investing in 12 quality companies with durable competitive advantages. The manager successfully navigated market volatility by buying discounted large-cap stocks like Alphabet and ASML, challenging efficient market assumptions while maintaining patient capital deployment focused on long-term value creation.

Pernas Portfolio outperformed the S&P 500 by 36.4% in 2025 despite volatile conditions and initial missteps around Trump's Liberation Day. The manager advocates abandoning mean reversion strategies in favor of recognizing structural changes driven by AI, economic shifts, and geopolitical dynamics. Portfolio focuses on a barbell of AI winners and mislabeled AI losers.

Plural Partners delivered 5.7% in Q4 while maintaining deep value discipline. Portfolio trades at 44% of estimated intrinsic value with strong balance sheets and aligned management. Exited ContextLogic profitably after NOL strategy pivot. Holding Watches of Switzerland through tariff headwinds given structural advantages and acquisition opportunities. Concentrated approach targeting patient capital deployment in quality businesses.

AI reached a step-change through skills and loops, threatening software business models while creating infrastructure opportunities. Fund cut software exposure including Atlassian due to shifting defensibility, but initiated Hut 8 position on $7B Anthropic data center deal. Maintains AI supercycle conviction through Nvidia and memory positions as compute demand remains strong.

Nightview delivered 22.64% returns in 2025, outperforming markets while positioning for AI's evolution from digital to physical applications. Core holdings Tesla and Amazon benefit from structural advantages in autonomy and retail efficiency. The firm maintains very bullish outlook on long-term opportunities despite acknowledging near-term AI speculation risks.

Palm Harbour delivered 16% returns in 2025 through disciplined value investing in cash-generative businesses. Key contributors included Argentine cement producer Loma Negra following Milei's victory and copper miner Atalaya Mining. The fund actively managed governance risks while adding Philippines telecom Converge ICT. Portfolio trades at 8.1x P/E with 95% upside to NAV, positioning for strong medium-term prospects.

Fairlight's quality-focused small-mid cap fund underperformed significantly in 2025 due to AI disruption fears and benchmark concentration in avoided cyclical sectors. Despite -8% returns, portfolio companies grew earnings 9% with strong fundamentals. Management remains committed to the process, forecasting 12% earnings growth for 2026 while adding to their own investments.

Small-cap quality growth strategy underperformed amid large-cap dominance but manager sees setup for small-cap decade. Three key catalysts align: extreme relative valuations, mega-cap concentration, and extended large-cap leadership cycle. Risk-on environment favored low-quality factors in 2025. Healthcare holdings led contributions while cybersecurity detracted. Strategy positioned for imminent leadership rotation.

Bristol Gate focuses on high dividend growth companies with strong free cash flows and disciplined capital allocation. Despite underperforming due to AI-driven market concentration, their portfolio companies grew dividends 14.3% versus S&P 500's 5.6%. With improving market breadth expected from Fed accommodation, fiscal stimulus, and broader AI benefits, the firm sees current conditions as an ideal entry point for dividend growth strategies.

Bristol Gate's Canadian Equity strategy significantly lagged the S&P/TSX's 31.68% gain in 2025, primarily due to missing the commodities boom in gold and copper. The dividend-focused manager made strategic portfolio adjustments, exiting companies with deteriorating dividend growth while adding quality Canadian banks and retailers. Materials sector dominance highlighted the challenge of maintaining dividend discipline during commodity cycles.

International equities structurally outperformed U.S. markets in 2025 for the first time this decade, driven by dollar weakness, attractive foreign valuations, and slowing U.S. tech momentum. The Composite returned 26.82% versus 21.60% for MSCI World, led by Korean memory manufacturers benefiting from AI demand. The disciplined value approach continues finding compelling opportunities in targeted global markets.

Polaris International Equity delivered exceptional 35.37% annual returns, significantly outperforming benchmarks as international markets reversed decade-long U.S. leadership. Korean memory giants and European industrials drove performance amid favorable valuations and weaker dollar. Portfolio maintains disciplined focus on quality cash-generating companies with shareholder-friendly management. International equities remain compelling for 2026 given attractive valuations and diversification benefits.

Madison Large Cap Fund outperformed in Q4 2025 with a 3.43% return versus 2.66% for the S&P 500. The quality-focused strategy faced headwinds in 2025's momentum-driven market but managers remain committed to investing in durable businesses at reasonable prices. Portfolio activity included adding Workday and Honeywell while exiting Fiserv and Nike. Outlook is cautiously optimistic for 2026.

Madison Dividend Income Fund underperformed in 2025 due to Magnificent Seven dominance but maintains defensive positioning in high-quality dividend stocks trading at attractive relative valuations. With S&P 500 at historically expensive levels, the fund's quality bias and 2.53% yield provide downside protection while positioning for potential equal-weight outperformance reversal.

Madison Small Cap Fund underperformed significantly in 2025's speculative rally that favored unprofitable AI-themed companies over quality defensive businesses. Consumer Staples and software sectors were particularly challenged. The manager used market dislocations to add quality names like GitLab and Amplitude while trimming oversized positions. They see attractive opportunities emerging as high-quality businesses trade at discounted valuations.

Madison Mid Cap declined 1.2% in Q4 as markets favored speculation over quality. The fund added four new quality investments at attractive valuations while maintaining discipline despite headwinds from market preference for unprofitable, volatile companies. Management remains confident their focus on durable, profitable businesses will deliver superior long-term risk-adjusted returns.

Harding Loevner's small-cap international fund gained 16% in 2025 but lagged momentum-driven markets favoring AI and gold themes over fundamental quality. The fund increased Consumer Staples exposure while maintaining conviction in quality-growth companies with durable advantages, believing patient capital focused on fundamentals will outperform speculative momentum plays over time.

Harding Loevner's small-cap strategy underperformed in 2025 as quality-growth discipline clashed with momentum-driven markets. Despite temporary headwinds, the manager increased Health Care exposure and maintains conviction that financially strong companies with durable advantages will outperform speculative winners over the long term.

Emerging markets delivered outstanding 2025 returns driven by AI-related stocks, with EM companies critical to AI infrastructure buildout. The memory semiconductor industry is experiencing structural changes supporting higher profitability for leaders Samsung and SK hynix through customized products, capacity constraints, and AI-driven demand. Despite bubble concerns, favorable dynamics expected to persist through 2026.

International equities provide diversified AI exposure through global supply chain at attractive valuations versus concentrated US bets. Portfolio increased EM weight to 30% on compressed valuations, holds key AI enablers like TSMC and Samsung Electronics, and added defense exposure. Strategy offers participation in AI buildout with less single-factor risk and broader growth opportunities beyond mega-cap concentration.

Greenlight delivered 9.0% returns in 2025 entirely through macro investing, with gold up 64% and copper up 40% driving performance. The long-short equity book struggled amid cyclical headwinds and extreme market valuations. Management views U.S. equities as historically expensive and maintains defensive positioning with cash ready for improved opportunities.

Value stocks dominated 2025 across all regions, with Europe and Emerging Markets leading the charge as investors rotated from concentrated AI trades to cash-generative names. European banks, defense, and industrials outperformed on policy support and compelling valuations. The trends are expected to continue into 2026 with rate easing and fiscal stimulus providing tailwinds.

Marram returned 4.0% in 2025 despite strong business fundamentals across holdings. Payment technology companies show disconnect between operating performance and share prices, creating opportunity for patient capital. Energy infrastructure MLPs provide stable cash flows with inflation protection. Regional banks delivered strong returns but exposure reduced due to valuation expansion. Significant cash position maintained for future opportunities.

European value manager delivered 10.2% in 2025 through concentrated portfolio of special situations trading at deep discounts. Successfully exited all inception positions at attractive returns while building concentrated exposure to litigation finance, energy services capital cycle, and corporate simplification stories. Geopolitical shifts creating fragmented markets viewed as opportunity rather than headwind for flexible value approach.

Gymkhana Partners focuses on undervalued smaller-cap Indian businesses, delivering 12.5% compound annual returns since 2013 despite 2025's 11% decline. India's 8.2% GDP growth and transformative reforms drive structural opportunities. Portfolio trades at 15x forward earnings with significant discounts to intrinsic value. Recent market weakness creates attractive entry points in defense, aerospace, and industrial companies.

Asian Recovery Fund underperformed in 2025 due to focus on undervalued consumer companies over expensive technology stocks. Quality holdings trade at 11x earnings with 30% returns on capital while structural shifts drive Asian households from property to equities. Manager expects strong catch-up performance as valuation gaps with expensive US markets normalize.

OAM European Value Fund's 55.8% return in 2025 demonstrates the power of concentrated value investing as European value stocks began their strongest outperformance versus growth in decades. Portfolio remains attractively valued at 10-11x earnings with investment trusts at significant NAV discounts, positioned for continued gains as value investing enters multi-year bull market.

EdgePoint Global Portfolio capitalized on April 2025's Liberation Day volatility to buy quality businesses at discounted prices, moving over 25% of the portfolio during the market stress. The firm's focus on resilient businesses with proprietary insights generated strong returns while maintaining downside protection, as demonstrated by Lincoln Electric's 17.4% IRR despite thesis not materializing.

Artisan Mid Cap Fund outperformed benchmarks in 2025 despite Q4 weakness, driven by strong healthcare and AI infrastructure holdings. Biotech names like Argenx and Insmed delivered on product launches while datacenter plays benefited from AI spending. The team added defense and connectivity names while trimming winners, positioning for continued profit cycle opportunities across healthcare, technology, and industrials in a broadening market environment.

Artisan International delivered 36.31% returns in 2025, outperforming benchmarks through disciplined stock selection in industrials and utilities. Defense holdings like Hanwha Aerospace and grid modernization plays including National Grid drove performance. The manager is rotating from defense into electrification themes while adding consumer staples for balance, seeing compelling opportunities in European structural investment trends.

Leaven Partners gained 4.2% in Q4 2025, driven by successful Japanese yen hedging that contributed 5% as the yen weakened 6.5% versus the dollar. The manager employs systematic trend-following currency hedging to manage foreign exchange risk from Japanese stock holdings, viewing this as essential risk management rather than macro speculation while focusing on stock selection.

Hosking Partners delivered 33.5% annual returns through contrarian positioning, underweighting expensive US technology while overweighting emerging markets, Japan, and metals. South African platinum miners and select technology supply chain stocks drove outperformance. The manager sees an inflection point ahead as AI capital intensity compresses tech valuations, favoring their diversified value approach.

Sharp Capital's 15-year Brazilian market analysis shows only 15% of companies created real value, with Mercado Livre, Equatorial, and WEG standing out through superior capital allocation and execution. The fund rebounded 46% in 2025 after maintaining conviction through 2024's downturn. Success requires identifying exceptional businesses with patient, adaptable management teams focused on long-term value creation over short-term metrics.

Mid-cap growth fund positioned for 2026 outperformance through AI cycle continuation, fiscal stimulus, and sector rotation opportunities. Strong exposure to semiconductor testing, aerospace recovery, and healthcare demographics with quality companies generating robust free cash flows. Key risks include labor market softening and AI investment sustainability, but multiple cyclical inflection points support optimistic outlook.

Forager delivered strong 2025 returns of 24.8% (Australian) and 15.0% (International) by capitalizing on small cap outperformance and extreme market dispersion. The manager took profits on overvalued tech holdings while building cash for opportunities in sectors that became overcrowded. Australian tourism recovery and pullbacks in quality tech stocks present attractive 2026 opportunities for patient capital deployment.

Strong 15% annual return despite volatile Q4, driven by AI infrastructure plays and active portfolio management. Major refresh underway targeting smaller-cap opportunities at attractive valuations. Technology selloff creating potential entry points though valuations remain elevated. Australian tourism recovery gaining momentum. Structural tailwinds for active managers continue with record passive inflows creating opportunities for differentiated strategies.

Fund delivered solid Q4 performance led by AstraZeneca, Lam Research, and Goldman Sachs. Managers remain constructive on 2026 outlook driven by 16% projected earnings growth, potential Fed cuts, and broadening AI investment. Key risks include elevated 22x market valuations and AI bubble concerns, but tailwinds outweigh headwinds for continued equity gains.

Purpose Credit Opportunities Fund delivered 8.2% returns in 2025, outperforming passive strategies through focused exposure to defense spending, data center electricity demand, and U.S. mortgage themes. Manager Sandy Liang maintains conviction in secular defense growth and energy infrastructure while managing valuation risks. Strong U.S. economic fundamentals support credit quality despite government deficit concerns.

Vulcan Value Partners improved portfolio valuations while delivering positive returns, with Small Cap trading at mid-50s price to value ratio. Manager sees parallels to late 1990s AI bubble but finds exceptional opportunities in overlooked segments. Portfolio emphasizes quality insurance and healthcare businesses like Medpace and Everest Group trading at substantial discounts to intrinsic value.

Value manager navigates late-1990s-like market dominated by AI and mega-cap stocks by improving portfolio discounts while delivering positive returns. Small Cap portfolio trades at mid-50s price-to-value ratio despite healthy economy and falling rates. Successful Medpace investment exemplifies patient capital approach. Fully invested with enhanced margins of safety across all strategies.

Conestoga's SMid Cap strategy underperformed in Q4 as biotech stocks surged while the firm maintained underweight positioning. Despite challenging 2025 performance, the outlook appears bright with Small Caps projected for 32% earnings growth in 2026 versus 13% for Large Caps, trading at attractive valuations, and benefiting from supportive policy tailwinds that could drive sustained outperformance.

Conestoga Micro Cap posted 16.24% annual returns despite challenging market dynamics favoring speculative stocks. Portfolio benefited from exceptional performance in Planet Labs (388% return) and consumer staples holdings, while limited biotech exposure hindered Q4 results. Strategy maintained discipline through volatile periods, positioning for potential quality leadership rotation as Small Caps show compelling fundamentals with 32% projected 2026 earnings growth.

Ariel International Fund posted +31.48% annual returns through disciplined value investing in undervalued international franchises. Strong banking sector positioning and semiconductor equipment exposure drove performance while the manager initiated eleven new positions. With improving fundamentals, policy alignment and attractive valuations overseas, the fund is positioned to capitalize on structural growth opportunities beyond U.S. markets.

Ariel Small Cap Value posted modest Q4 gains led by Sphere Entertainment and Affiliated Managers Group, while adding positions in RLI Corp and FactSet Research. The managers enter 2026 with measured caution given market volatility and large-cap concentration, maintaining their disciplined long-term approach focused on robust fundamentals and strong management teams.

Ariel Global Fund posted 23.30% annual returns through disciplined international value investing, capitalizing on semiconductor AI demand, European banking consolidation, and energy transition opportunities. The fund initiated sixteen new positions while maintaining focus on undervalued franchises with improving fundamentals. Strong positioning in SK Hynix, European banks, and renewable infrastructure reflects conviction in structural growth themes outside U.S. mega-caps.

Troy Global Equity Strategy underperformed in 2025 despite strong portfolio company fundamentals, creating opportunity. AI concerns pressured data and software holdings while benefiting unowned semiconductor stocks. The Strategy now trades at historic discount on free cash flow yield with superior financial metrics, well-positioned as other market areas appear stretched.

Ninepoint sees 2026 as opportunity-rich despite central bank uncertainty, with compelling themes including natural gas demand surge from AI-driven electrification, gold's continued strategic asset momentum above $4,000/oz, crypto's institutional maturation through tokenization, and Canadian energy producers positioned for outperformance. High-quality fixed income provides portfolio anchoring while structural electrification trends support global infrastructure investments.