Apis delivered 55.1% returns in 2025 by focusing on smaller-cap companies outside the U.S., particularly in Asia. Strong performance driven by defense holdings, memory semiconductors, and healthcare names. Fund evolved toward niche IP companies while adding cyclical exposures in mining and European building materials where valuations remain attractive.

Southeastern's value-focused Partners Fund underperformed in 2025's momentum market but maintains defensive positioning with quality holdings, strong balance sheets, and active share buybacks. Portfolio positioned like 1999 with 45% in defensive sectors plus cash, expecting outperformance when current speculation in AI and crypto inevitably unwinds and fundamentals matter again.

Longleaf Global delivered 16.72% returns in 2025 while positioning defensively for late-cycle conditions with 45% in defensive sectors and cash. The fund merged with International Fund, demonstrating conviction in their global value strategy. Portfolio features reduced leverage versus prior peaks and quality companies with strong FCF generation, positioned to outperform when market speculation reverses.

Longriver's concentrated global equity strategy delivered 14.8% in 2025 but underperformed due to opportunity cost from key positions. The fund targets asymmetric returns through long-term compounders like TSMC and Games Workshop while highlighting Wise as the most asymmetric bet - a cross-border payments disruptor with bounded downside and significant long-term upside potential.

Hardman Johnston delivered solid Q4 returns despite modest benchmark underperformance, driven by Healthcare and Financials strength offset by Industrial weakness. The manager maintains conviction in defense spending themes and mining cycle recovery while managing AI concentration risk. Portfolio activity focused on quality businesses with durable advantages, viewing current geopolitical turbulence as creating rich opportunities for fundamental stock pickers.

Southeastern's Small-Cap Fund delivered 7.56% returns in 2025 while maintaining disciplined value approach during market environment favoring unprofitable companies. Portfolio features quality holdings with strong balance sheets, 15.8% cash for deployment, and significantly reduced leverage versus historical periods. Manager expects inevitable reversion to favor undervalued, cash-generating businesses over current market speculation.

Jemekk Hedge Fund posted 18.3% returns in 2025, capitalizing on Canadian outperformance driven by energy, precious metals, and financials. The fund is positioned for Build Canada infrastructure themes and elevated defense spending globally through holdings like Exchange Income Fund and RTX Corporation. Managers expect continued Canadian outperformance in 2026 despite macro headwinds from inflation and tariffs.

Langdon's Canadian small-cap portfolio delivered 19.7% in 2025 through diversified holdings in underfollowed sub-$1 billion companies. Strong performance from specialty retail and industrial names offset real estate weakness. New position PharmaCorp exemplifies opportunities in inefficient Canadian small-cap market. Disciplined approach focuses on business fundamentals and appropriate risk-return compensation rather than macro themes.

Strong 2025 performance driven by quality stock selection in Financials and strategic positioning in secular themes like nuclear energy and data center infrastructure. Defense holdings face temporary headwinds but maintain strong fundamentals. Key focus on managing AI concentration risk while capitalizing on productivity-driven growth opportunities in an environment rich with investment potential despite geopolitical uncertainty.

Lakehouse Global Growth Fund focuses on concentrated positions in technology companies with network effects and intellectual property moats. Despite December underperformance and challenging 2025 returns, the fund maintains strong long-term track record with 14.6% annualized returns since inception. Portfolio spans global e-commerce, enterprise software, and payments platforms with strong competitive positioning.

Langdon's small-cap portfolio delivered 6.9% in 2025 despite Q4 weakness, validating their quality-focused approach during market stress. Consumer holdings like YETI and Watches of Switzerland rebounded strongly in Q4 after first-half pressure. The concentrated portfolio of high-quality businesses with strong balance sheets enters 2026 well-positioned for long-term value creation at attractive valuations.

HMC Capital Partners delivered -9.2% in Q4 but maintains 23.5% annualized returns since inception through active value creation in Australian companies. The Fund focuses on real estate and consumer names benefiting from demographic trends, actively engaging management to unlock value. With $140m cash and elevated market valuations, positioned defensively for volatility while targeting high-conviction opportunities.

Hardman Johnston delivered strong Q4 performance, outperforming the S&P 500 with 4.27% net returns. The firm sees opportunities rather than bubbles, benefiting from early AI investments while diversifying into transportation and consumer products. Key winners included Albemarle on lithium surge and Illumina positioned for life sciences recovery. Economic backdrop remains favorable despite political volatility.

ARK believes technological convergence across AI, robotics, energy storage, blockchain, and genomics will drive 4-6% productivity growth and economic boom. Despite rolling recession since 2022, favorable policies and Fed rate cuts should catalyze recovery. Innovation space is revaluing with structural tailwinds replacing headwinds. Mixed Q4 performance with AI winners offsetting crypto weakness.

Driehaus Micro Cap Growth delivered strong Q4 outperformance driven by healthcare and materials strength, with AI spending and improving small cap earnings fueling the broadening market rally. The strategy increased healthcare exposure while taking profits in materials. The manager maintains a bullish 2026 outlook supported by economic expansion and AI infrastructure investment despite potential supply chain and geopolitical risks.

Brown Capital's International Fund suffered unprecedented underperformance in 2025, declining 6.48% in Q4 while flat for the year versus benchmark's 21.94% gain. AI disruption fears, style rotation toward cyclicals, and company-specific issues drove underperformance despite solid underlying fundamentals. The firm maintains conviction in Exceptional Growth Companies strategy, upgrading portfolio with new positions while remaining optimistic about long-term value creation prospects.

Small cap earnings are accelerating and expected to outgrow large caps through 2026, driving outperformance from April lows. AI dominance continues supporting economic expansion and capex spending. Healthcare strength from biotech approvals led Q4 gains. Despite software weakness and geopolitical risks, the 2026 outlook remains bullish given broadening market participation and favorable macro drivers supporting small cap momentum.

Bahl & Gaynor advocates risk-managed AI infrastructure exposure while emphasizing downside protection amid elevated market concentration and valuations. The firm positions away from cap-weighted indexes toward equal-weighted and smaller cap opportunities, focusing on diversification and risk budgeting to deliver differentiated outcomes aligned with individual investor needs rather than market consensus positioning.

AVI Japan Opportunity Trust outperformed in December through successful activist engagement at Synchro Food and tender offer announcement for Broadmedia. The fund continues deploying capital from the Fidelity merger while maintaining its constructive engagement strategy. With Japan's corporate governance reforms accelerating and additional firepower available, AVI is positioned to unlock substantial value in under-researched small-cap Japanese equities.

Spheria's global small cap fund underperformed in Q4 2025 as quality-focused strategies faced headwinds from markets favoring unprofitable AI-concept stocks. Strong performers included banking software provider JKHY and logistics company Expeditors, while HR software firm Paycom struggled with soft job market conditions. Managers maintain conviction in their disciplined, valuation-aware approach to high-quality businesses.

49 Financial warns of growing structural risks beneath 2025's strong returns, particularly extreme U.S. market concentration and elevated valuations with suppressed volatility. The firm positions globally diversified portfolios emphasizing active risk management over passive strategies, expecting 2026 to bring higher volatility and reduced tolerance for concentration. A weaker dollar should benefit international equities while inflation risks challenge traditional fixed income.

Gramercy's emerging markets debt strategy delivered positive December returns through selective high-yield sovereign exposure and South African local-currency bonds. Dollar weakness provided broad EM tailwinds while spread compression favored carry assets. Underweight positioning in lower-beta currencies and investment-grade duration exposure created modest headwinds in the volatile rate environment.

Bramshill Income Performance Fund employs tactical value investing across five US fixed income asset classes, actively managing duration and credit exposure to maximize risk-adjusted returns. The strategy focuses on securities priced at intrinsic discounts while maintaining strict risk limits and stress testing protocols. The benchmark-agnostic approach enables opportunistic rotation among asset classes based on relative value assessment.

Riverwater's micro-cap strategy underperformed in 2025 by avoiding speculative AI and biotech themes while maintaining quality discipline. Top holding IRadimed gained 80% on FDA approval. Manager expects 2026 rotation back to fundamentals favoring quality micro-caps, supported by Fed rate cuts and improving real economy earnings. Portfolio positioned for cyclical outperformance at fundamental inflection points.

Wedgewood Partners endured their worst relative performance since 1993, with quality growth stocks underperforming in a speculative AI-driven market. The manager warns of bubble-like valuations exceeding tech bubble levels but remains confident their superior portfolio fundamentals and attractive relative valuations position them well for a potential reversal in 2026 when quality may reassert itself.

Riverwater's small-cap strategy underperformed in 2025 by avoiding speculative AI and biotech investments while focusing on quality fundamentals. Energy outperformed through natural gas and nuclear themes. The manager expects 2026 to favor quality small-caps as lower-quality factors reverse and Fed rate cuts improve financing conditions for smaller companies.

Quality-focused small-cap value strategy underperformed in challenging 2025 environment favoring speculation over fundamentals. Top performer Ciena benefited from AI infrastructure demand while detractors faced sector-specific headwinds. Manager remains disciplined, expecting 2026 rotation back to quality factors with small-caps outperforming as fundamentals reassert themselves.

Nixon Capital advocates looking beyond market perceptions to underlying business realities. While 2025 tariff fears drove consumer stocks down 20-50%, the firm identified companies successfully adapting through supply chain shifts and pricing strategies, reducing tariff impact by 30-60%. They emphasize that forecasting is futile and focus on finding durable businesses where price diverges from fundamental value.

The Fed's shift from quantitative tightening to $40 billion monthly asset purchases is more significant than headlines suggest, creating favorable conditions for small- and mid-cap value strategies. With inflation below target and positive yield curve signals, this accommodative stance should drive economic expansion and benefit discounted value names and Bitcoin exposure.

Lord Abbett Short Duration Income Fund outperformed in Q4 2025 as Fed rate cuts supported fixed income markets. High yield corporates and investment grade security selection drove returns while CMBS detracted on commercial real estate concerns. The fund emphasizes carry over capital appreciation with defensive positioning across quality banks, energy, and technology names amid compelling fixed income opportunities.

AI dominance continues but international markets led 2025 performance, returning 33.7% versus S&P 500's 17.6%, aided by Dollar weakness. Strong earnings growth expectations of 15.6% for 2026 and dovish Fed policy support market broadening beyond Magnificent 7 into cyclical and value stocks, despite potential volatility from earnings disappointment risks.

LENS ETF's +56.79% inaugural year return validated the Return to Tangibles thesis as precious metals soared amid trade wars and inflation concerns. Gold and silver hit all-time highs while the fund's thematic positioning in Geopolitical & Fiscal Risk exposures drove outperformance. The manager expects 2026 to see commodity leadership broaden beyond precious metals as the secular trend continues.

TIFF delivered strong 2025 performance through diversified liquid strategies while private markets lagged but showed improvement. The firm continues expanding systematic manager allocations, event-driven exposure, and AI integration across operations. With 35 years of institutional-quality solutions for nonprofits and growing international interest, TIFF remains optimistic about 2026 despite tariff concerns and private market headwinds.

China dominates the Electric Stack (batteries, magnets, power electronics) that powers the Next Economy while the US bets everything on AI. Green Alpha believes physical infrastructure trumps intelligence alone. The firm is moving capital toward companies building electrostate infrastructure and away from petrostate incumbents, riding proven cost curves in energy transition technologies.

The 13D Activist Fund leverages record-high shareholder activism levels, expanding internationally with first Japanese investments in Ebara and Kansai Electric Power. Despite Q4 underperformance in a large-cap market, early 2026 shows promise with the fund outperforming Russell 2000. Portfolio turnover accelerated as activism becomes necessary for value realization in an increasingly passive market.

Phoenician Capital posted 34% returns in 2025 by owning quality businesses outside crowded market areas. Top performers like ASA International, Mader Group, and Inter & Co. demonstrated strong operational execution and profitability growth. The fund is enhancing its proprietary AI research platform to accelerate new investment generation while maintaining disciplined, valuation-aware approach for 2026.

Emerald delivered 16.0% net returns in 2025 led by semiconductor equipment stocks. The manager strategically positioned for AI infrastructure growth while re-entering Chinese technology through Alibaba and Tencent following regulatory environment improvements. Despite AI bubble concerns and passive investing distortions, they maintain conviction in quality companies with strong moats, believing bottom-up research will capitalize on long-term transformation opportunities.

Emerald delivered 13.2% returns in 2025 led by AI-driven semiconductor winners Applied Materials and ASML. The manager initiated quality positions in Broadcom and Constellation Software while adding undervalued Swiss names. Despite frothy market conditions and tech concentration risks, they maintain disciplined focus on high-quality compounders with strong cash generation trading at attractive valuations in unloved sectors.

Horos delivered strong 2025 returns while warning of U.S. market bubble dynamics driven by AI speculation and passive investing distortions. With valuations at dot-com levels and extreme concentration, the manager avoids overpriced markets, focusing on undervalued European opportunities. Precious metals surged as inflation hedge while AI companies raise capital at unprecedented valuations without products.

Lakehouse Small Companies Fund fell 7.5% in December due to concentrated portfolio volatility but maintains strong long-term track record. Magellan contributed positively as Barrenjoey investment bank reaches profitability. Cogstate showed strong contract growth despite timing issues. Managers actively added to positions during weakness, maintaining concentrated approach with 5.4% cash for opportunities.

Mid-cap growth fund underperformed in 4Q25 on poor stock selection, with gaming and healthcare holdings declining while missing biotech winners. Managers remain optimistic on 2026 outlook, expecting resilient growth supported by AI innovation and broadening market leadership beyond mega-caps, though geopolitical risks warrant caution.

Fenimore's Dividend Focus Fund underperformed in Q4 as AI speculation drove capital from quality dividend-payers to speculative stocks. Despite short-term headwinds, portfolio companies showed strong fundamentals with accelerating earnings growth and 9% dividend increases. Management used volatility to add to quality names at attractive valuations, positioning for long-term outperformance when fundamentals reassert themselves.

GoodHaven runs a concentrated value strategy in 19 high-quality businesses trading at significant discounts. Key themes include digital advertising, financials with strong balance sheets, demographic-driven homebuilders, and disciplined energy companies. The upgraded portfolio under Larry Pitkowsky has delivered strong performance, ranking top decile over three years with 8.08% annualized returns since inception.

FAM Value Fund declined 1.17% in Q4 as AI speculation continued driving capital away from quality companies. Ross Stores, Markel Group, and Amphenol led performance while Brown & Brown, AutoZone, and Fastenal lagged. Fenimore trimmed winners and raised cash to 3.2%, maintaining disciplined focus on quality fundamentals despite market preference for speculative investments.

Fenimore's Small Cap Fund declined 4.12% in Q4 as quality stocks lagged speculative AI-related names, similar to the late 1990s tech bubble. Despite underperformance, the firm maintains disciplined focus on high-quality businesses with strong fundamentals, believing these characteristics will eventually drive long-term returns as market speculation subsides.

Jacob Asset Management sees the AI productivity cycle as real and transformative, adding Snowflake for cloud data infrastructure exposure. Two biotech positions target gene therapy and CAR-T immunotherapy breakthroughs. Recent AI valuation cooling creates attractive entry points for multiyear themes. Smaller companies may benefit disproportionately from potential multiple expansion despite mixed economic signals.

AVI Global Trust gained 0.4% in December, led by Chrysalis Investments on asset realisation news. Samsung C&T now represents over 5% of NAV, offering exposure to Samsung Electronics' improving HBM competitiveness and Samsung Biologics' 50% margin antibody manufacturing. South Korean governance reforms and capital allocation changes provide catalysts for discount closure.

Mar Vista's Quality strategy underperformed in Q4 as mega-cap AI stocks dominated. Portfolio changes included adding Taiwan Semiconductor and Netflix while exiting Equifax and Roper. The manager sees AI transitioning to demonstrable ROI with early monetization in cloud, advertising, and semiconductors. 2026 outlook balances Fed easing and earnings growth against narrow leadership risks and elevated valuations.

Mar Vista's Quality Premier strategy underperformed in Q4 despite strong AI-related holdings like Alphabet and Apple. The manager sees AI transitioning from infrastructure build-out to monetization in 2026, but warns of vulnerability from narrow market leadership and elevated mega-cap valuations. Strategy focuses on high-quality businesses with competitive advantages while maintaining valuation discipline in an increasingly late-cycle environment.