Thornburg Global Opportunities delivered exceptional 2025 performance with 41% returns, significantly outpacing global markets through concentrated exposure to semiconductors, financials, and digital economy leaders. Despite trade policy uncertainty and geopolitical risks, the fund maintains conviction in value-priced growth companies with strong competitive positions, emphasizing long-term wealth creation over short-term volatility.

Thornburg International Equity Fund outperformed for the full year despite Q4 underperformance, benefiting from strong stock selection in technology and pharmaceuticals. The managers maintain conviction in their focused portfolio of quality international businesses trading at attractive valuations, welcoming macro-driven volatility for positioning opportunities while navigating trade tensions and divergent monetary policies.

2025 delivered 17.88% returns despite tariff and AI volatility, with performance broadening beyond technology. Dollar weakness drove international outperformance while gold and silver hit record highs on debasement fears. Fed cut rates three times. Multi-year winning streaks are historically normal, and supportive conditions including fiscal liquidity and AI productivity potential suggest continued market strength into 2026.

Bristlemoon delivered 11.9% since inception despite Q4 weakness, benefiting from AI winners AppLovin and ASML while suffering from Hemnet and PAR declines. The manager initiated positions in Adobe, Floor & Decor, and others during market pessimism. PAR approaches potential McDonald's partnership while Floor & Decor awaits housing recovery. Portfolio positioned for opportunity-rich environment ahead.

Fundsmith's 0.8% return in 2025 reflects systematic headwinds from index concentration and momentum investing rather than fundamental deterioration. With quality companies trading at attractive valuations while speculative AI stocks reach extreme multiples, Smith maintains his disciplined approach, expecting superior long-term performance when market distortions eventually correct.

Castlebay's UK fund underperformed in 2025 despite superior quality metrics, with companies generating 35% ROE versus market's 14% while trading at attractive 5.5% free cashflow yield. Recent portfolio repositioning included new positions in Greggs and AJ Bell. Management believes current valuations create compelling opportunity for performance reversal in 2026.

Tsai Capital targets visionary companies creating invisible network effects and digital ecosystems. Top holdings Amazon, Apple, Tesla, Brookfield, and QXO architect scalable competitive moats through AI, robotics, and autonomous systems. Despite 2025 underperformance, the 26-year track record demonstrates the power of patient capital compounding in transformative businesses that reshape entire industries.

Australian value fund declined 6.7% in Q4 on weakness in key holdings Lovisa, Eagers, and ARB. Manager maintains conviction in founder-led quality businesses, adding Bravura Solutions while selling New Hope Coal. Despite short-term underperformance, the fund has delivered 11.0% annualized returns since 2002, outperforming benchmark through patient capital allocation.

Strong 2025 market performance masks underlying K-shaped economic divergence between income segments. International equities dramatically outperformed on dollar weakness from policy uncertainty. Municipal issuance hit records on infrastructure needs. Fed leadership change expected with more dovish successor. While strategists remain bullish for 2026, sustainability concerns exist given consumer spending concentration among top earners.

Brasada navigated 2025's policy-driven volatility with mid to high single-digit returns while avoiding concentration in AI despite market enthusiasm. Unprecedented seven-stock market leadership creates risk, but Fed cuts, corporate investment, and improving fundamentals support 2026 outlook. Elevated valuations and election year patterns suggest choppier progress ahead.

Middle Coast Investing delivered 16.9% returns in 2025 through disciplined bottom-up value investing but enters 2026 defensively positioned with elevated cash levels. Focus remains on attractively priced companies like office furniture plays positioned for return-to-office recovery while maintaining strict risk management to avoid blow-ups during uncertain market conditions.

Strong 2025 performance across most asset classes masks underlying economic challenges including affordability crises and employment weakness. Gold outperformed as defensive store of value while Bitcoin proved volatile and risk-sensitive. Fed delivered divided rate cut amid economic uncertainty. Forward outlook cautiously optimistic on dovish policy and AI productivity gains, but elevated valuations suggest much optimism already priced in.

Markets climbed the Wall of Worry in 2025 with the S&P 500 gaining 18% despite geopolitical tensions and policy uncertainty. International equities outperformed with developed markets up 30% and emerging markets up 33%. Diversification proved valuable as leadership rotated across asset classes, with infrastructure and precious metals delivering strong returns while small caps surged from April lows.

Markets delivered strong Q4 returns despite government shutdown data fog and Fed policy uncertainty. AI theme matured with increased selectivity while market leadership rotated toward value. The 2026 outlook faces higher bar given expensive valuations and elevated expectations, but tech innovation, corporate profits, and declining rates provide positive catalysts for disciplined long-term investors.

A cautiously optimistic strategy focused on diversified growth opportunities, with an emphasis on risk management amid uncertain market conditions.

Pangolin Asia Fund fell 3% in 2025 while underlying earnings grew 7%, creating deeper value opportunities. Portfolio trades at 11.3x P/E with 20% ROIC across undervalued ASEAN companies. Manager rejecting DKSH Malaysia takeover as too cheap and maintaining conviction in Indonesian consumer positioning despite near-term headwinds.

Centerstone Investors Fund converts to FPA Crescent Fund on January 9, 2026. Manager Abhay thanks shareholders for their trust and emphasizes that FPA Crescent shares similar investment principles of patience, discipline, and long-term perspective. Shareholders are positioned to continue under FPA Crescent's management with aligned investment philosophy and governance structure.

Vision Capital delivered solid 2025 returns through concentrated long-term investing in quality growth companies. Manager opportunistically added to positions during Q4 weakness while initiating Sea Limited investment. Avoided cyclical memory semiconductors and maintained skeptical AI positioning. Portfolio demonstrates strong fundamentals with 26% revenue growth, positioning for business-driven returns over multi-year periods.

Compound Everyday Capital posted 25.7% YTD returns with 19% underlying earnings growth. Manager maintains neutral stance amid high market valuations, holding 19% cash while analyzing lessons from 13-year winners. Key focus on competitive advantages and reasonable pricing during temporary hardships. Risks include AI bubble correction and flow shifts to cheaper Asian markets.

Strong 2025 performance vindicated international diversification strategy with international value stocks delivering exceptional returns of 45-52%. Declining dollar, attractive valuations, and foreign government spending drove outperformance. Manager emphasizes patient value investing approach similar to Warren Buffett, reinforcing long-term diversification benefits after years of international underperformance.

Standard Wealth gained 20.3% in 2025 but advocates defensive positioning given historically high S&P 500 valuations at 31.3x P/E. Manager questions whether $520 billion AI infrastructure spending will generate expected returns. Strategy maintains uncorrelated allocations to gold, arbitrage, and hedged positions to weather potential volatility while preserving capital for future opportunities when valuations become attractive.

Hertford Capital outperformed in Q4 2024 despite challenging European small cap conditions. The concentrated portfolio targets overlooked opportunities with 40% in housing/mortgage recovery, 20% in software/SaaS. Manager expects European small cap valuation gap to narrow in 2025 through M&A activity and renewed liquidity, forecasting potential 50%+ portfolio upside within eighteen months.

Oakmark Fund trails S&P 500 in 2025 as momentum investing dominates, but trades at attractive 13x P/E versus market's 22x. Fund maintains minimal technology exposure while S&P 500 reaches dot-com-like concentration levels. Management expects momentum reversal will favor value stocks in 2026, creating opportunity to increase returns while reducing risk.

Harris Oakmark warns that tight credit spreads and calm markets mask underlying risks including geopolitical tensions and softening credit metrics. The firm maintains conservative positioning while selectively targeting non-agency securitization and oversold corporate credit in quality sectors, emphasizing discipline over deployment when valuations leave little room for disappointment.

Harris Oakmark's International Fund shifted toward quality businesses after they significantly underperformed in 2025, creating attractive entry points. The manager maintains disciplined value investing while seeing structural improvements in Japan and Korea corporate governance. Despite KOSPI's 79% gain, Korean discount persists at 11x forward earnings, offering continued opportunities.

Advisory Research expects global economic reacceleration driven by coordinated fiscal stimulus, with Europe outperforming the US through Germany's shift to fiscal expansion. Manager remains very bullish on global equities despite anticipating higher market volatility and sticky US inflation. Key opportunities include AI becoming practical, nuclear fusion breakthroughs, rising oil prices, and financial deregulation benefiting banks.

QCAM sees two-way volatility risks for FX markets in 2026 as the disconnect between low volatility and high uncertainty may break. Maintains USD bearish outlook but acknowledges geopolitical shocks could support dollar while US policy credibility events would hurt it. Currently positioned moderately short USD with longs in EUR, CAD, CHF, JPY.

Oujo Wealth delivered strong 2025 returns across risk levels through disciplined asset allocation. The firm remains cautiously optimistic for 2026, balancing dividend payers, growth stocks, and fixed income. Current equity valuations offer limited risk premium over bonds, but no major moves planned unless market corrections create rebalancing opportunities in undervalued small caps.

Diameter delivered modest Q4 returns despite strong AI infrastructure investments, with Meta's Beignet financing and EchoStar spectrum plays offsetting major distressed losses from fraudulent First Brands. The fund positions for continued AI capital deployment while seeking capital solutions opportunities for stressed PE companies, maintaining caution on consumer exposure amid low-income wage pressures.

Armbruster Capital emphasizes diversification despite AI-driven tech dominance delivering 24.7% returns in 2025. International markets outperformed significantly while bonds gained 7.3% from Fed cuts. Elevated valuations and market concentration raise future return concerns, but historical patterns suggest diversified positioning across small-cap, international, and value stocks will outperform when valuations are stretched.

After three years of bull market gains, Corient advocates global diversification as international markets outperformed U.S. equities significantly in 2025. Fed rate cuts and AI spending drove performance, but elevated valuations and policy uncertainty warrant caution. The firm recommends maintaining quality positioning across asset classes while extending duration in bonds and increasing international equity exposure for 2026.

Global markets are broadening beyond US technology dominance as AI investment reaches unsustainable levels. Attractive opportunities emerge in overlooked international markets, commodities, energy, and biotech while government fiscal excess threatens bond stability. The manager advocates diversification away from AI-centric positioning toward global equities, hard assets, and sectors benefiting from technological transformation.

ClearBridge Large Cap Growth underperformed by 900bps in 2025 due to underweights in mega cap AI names despite correctly owning Nvidia since 2018. Managers acknowledge underestimating AI spending magnitude but believe current momentum-driven market is unsustainable. Actively repositioning for broader participation as economy ex-tech accelerates from fiscal stimulus and monetary easing.

Morris delivered 39% returns through global diversification and value investing while warning of US equity bubble at 39.8x CAPE ratio. Weak dollar drove international outperformance with Europe up 26% versus US 9.2%. Gold led all markets on geopolitical concerns. Strategy focuses on Japanese normalization, commodity cycle broadening, and quality companies while reducing precious metals exposure from peak levels.

Halvio Capital delivered strong returns focusing on undervalued international small caps, particularly in Japan where corporate governance reforms are unlocking value. Mixed results from Australian merger arbitrage and successful exits highlight the manager's opportunistic approach. With North American markets appearing overvalued, the fund is shifting toward cheaper international opportunities while maintaining focus on undervalued securities with clear catalysts.

ClearBridge Dividend Strategy maintains disciplined diversification amid historic market concentration, participating selectively in AI while trading at significant discount to S&P 500. Portfolio companies growing dividends 10% annually. Managers reduced Oracle due to risky business model shift, maintained Broadcom for competitive AI positioning, expect opportunities in overlooked areas as AI obsession continues.

Kingdom Capital's microcap value strategy delivered 17.45% net returns despite significant adversity, outperforming Russell 2000 by 1,300+ basis points annually since inception. The concentrated portfolio combines special situations with 12-month catalysts and deeply undervalued businesses generating strong free cash flow, positioned for compelling returns as valuation gaps close.

ITUS Capital's bottom-up multi-cap strategy delivered 6.64% in 2025 through selective stock picking despite challenging market conditions. Portfolio positioned around consumer distribution, mining, financials, healthcare, and industrialization themes. Manager expects 2026 growth recovery but anticipates continued market selectivity with returns dependent on earnings delivery rather than broad-based rallies.

Strong 21.5% returns driven by gold and Asian equities, but manager maintains defensive positioning with significant cash holdings due to elevated valuations and AI bubble concerns. Portfolio skewed toward Asia for better value opportunities, with recent purchases of undervalued names like PayPal and Carrefour trading at attractive multiples despite broader market risks.

Brighton Jones emphasizes market resilience through 2025's volatility, with international equities leading returns at 34% while US markets recovered from 20% declines. Trade policy disruptions from sweeping tariffs created temporary panic before negotiation pauses. Fed rate cuts totaling 175 basis points supported fixed income returns over 7%. The firm maintains moderate conservative positioning with global diversification focus.

Q4 2025 showcased AI revolution acceleration and emerging market outperformance, with South Korea's KOSPI surging 84% while U.S. markets faced volatility. Technology companies poured billions into data centers amid fierce AI competition. Looking forward, moderate equity returns are expected with AI integration driving growth, supported by monetary stimulus and geopolitical stabilization.

AI capex boom will drive massive US growth (140bp boost in 2026) but concentrated in capital investment with minimal job creation. This creates unprecedented dynamics of strong GDP growth alongside soft employment, acute price pressures in power and semiconductors, and complex Fed policy challenges. Second-order macro consequences remain underpriced in markets.

Global markets delivered strong 2025 returns despite trade wars and AI bubble concerns. The 'anywhere but America' trade succeeded with international markets outperforming US indices. Gold surged 65% while South African markets surprised with 42% gains. AI investment reached unprecedented levels raising sustainability questions. Elevated valuations and geopolitical tensions create risks requiring diversified, patient positioning for 2026.

Confluence expects continued economic expansion driven by business investment and AI spending, with Fed rate cuts supporting markets. Portfolios favor large cap domestic and international developed equities while maintaining gold positions for geopolitical hedging. The firm reduced mid-cap exposure, emphasizing dividend-paying stocks and defense sectors. Fixed income positioning anticipates dovish Fed policy with intermediate-maturity focus.

Desert Lion Capital delivered 20.2% net returns in 2025, investing in concentrated, undervalued South African small and mid-cap companies. With improved fiscal outlook, declining bond yields, and returning liquidity, the manager believes they are in early innings of a multi-year cycle of South African equity outperformance versus U.S. markets.

Muhlenkamp Fund delivered strong returns from gold positions (70-175% gains) while avoiding AI despite market leadership. The fund invested in cyclical downturns including chemicals and semiconductors, expecting eventual recovery. Key concerns include Fed policy contradictions, manufacturing weakness, and regulatory uncertainty. Manager expects AI boom to bust but maintains contrarian positioning for 2026.

Market predictions are futile distractions that should be ignored in favor of long-term buy-and-hold investing. Current AI and technology valuations represent sustainable trends backed by strong earnings growth, not a 1999-style bubble. Normal corrections are expected in 2026, but demographic decline and educational deterioration pose greater long-term risks than market volatility.

Regency's composite gained +20.2% annually, driven by diversified positioning across undervalued small caps and international equities. Gold's exceptional +65% performance demonstrates portfolio insurance value against currency risks. Fed rate cuts support broadening market leadership beyond tech concentration. The firm maintains disciplined allocation to attractively priced global assets while using gold as calculated hedge against volatility.

International growth fund underperformed in Q4 as value/cyclical themes dominated and China holdings faced profit-taking, despite strong full-year international outperformance. Portfolio focuses on quality growth companies with strong competitive advantages positioned for secular trends including AI, automation, and e-commerce. Cautious optimism for 2026 with trade tensions eased but inflation and labor market risks persisting.

Sage Advisory maintains cautiously bullish positioning for 2026 with full duration in fixed income expecting two Fed cuts and full equity beta balanced by lower valuation multiples. Strategy emphasizes stability and quality given historically tight credit spreads and elevated equity valuations, while capturing upside from healthy consumer fundamentals and policy tailwinds through selective sector positioning.