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Quarter	Letter Date	Fund Name	QTD	YTD	Tickers	Themes	Quick Take

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13D Activist Fund 2026 Q3 Investor Letter | Buyside Digest

Back to Fund Profile (13D Activist Fund)

Primary Source Intelligence • Q3 2026 Letter Analysis

13D Activist Fund Quarterly Analysis

Buyside Digest is not affiliated with, and does not endorse, 13D Activist Fund. This analysis is provided for institutional research purposes only and is not investment advice.

Fund Returns

QTD-2.31%

YTD+29.86%

Annualized+11.38%

Positioning StanceBULLISH

Market CapAll Cap

GeographyUS, Europe, Asia

Digest Analysis

Quick Take

"Expanding into an investable universe of global activist campaigns across Japan, Europe, and the U.S. enables high-conviction concentration in board-driven operational turnarounds and strategic corporate separations."

Executive Summary

In the third quarter of 2026, the 13D Activist Fund's Class I shares returned -2.31% net of fees and expenses, outperforming the Russell 2000 TR (-7.23%) while trailing the MSCI ACWI (1.69%). Year-to-date net return reached 29.86% net of fees, compared to 13.71% for the Russell 2000 and 13.37% for the MSCI ACWI. International diversification softened absolute quarterly declines, aided by active currency hedging that delivered roughly 70 basis points of annual benefit. As of October 1, 2026, geographic exposure stood at 49.60% US, 25.09% Europe, 21.97% Japan, and 3.34% cash. The manager transitioned the strategy in 2026 from a domestic focus into a concentrated global vehicle spanning 15 to 20 high-conviction activist campaigns, drawing from an expanded global universe of 674 live situations across the United States, Japan, and Europe. Governance reforms and corporate activism abroad have unlocked compelling alpha, allowing the fund to exit stalled theses and replace them with actionable corporate restructurings, spin-offs, and strategic reviews backed by board-level activist representation. Portfolio activity during the quarter featured five new additions: Knife River Corporation ($KNF), Midera Food Processing ($MFP), Rentokil Initial plc ($RTO.L), Rightmove plc ($RMV.L), and SKF AB ($SKF-B.ST). Simultaneously, the fund fully exited Delivery Hero and Integer Holdings following definitive takeover agreements by Uber Technologies and KKR at significant transaction premiums.

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Institutional Meta Strategy

Meta Strategy Gauges

Algorithmic conviction, macroeconomic posture, and risk appetite signals extracted from this quarterly letter with qualitative explanations.

Signal Matrix

Market Conviction

85%

CautiousHigh

High Conviction (85%)

Portfolio concentration was explicitly tightened to 15-20 total positions globally, with top holdings like Twilio sized above 10%. The manager establishes clear, falsifiable operational and M&A catalysts for every new addition, backed by activist board representation in seven of nine U.S. campaigns.

Growth Outlook

75%

BearishBullish

Bullish (75%)

Directional optimism is pronounced across global activist opportunities, with international campaign proliferation driving outperformance. The manager views corporate reforms in Japan and Europe as multi-year tailwinds, while acknowledging modest absolute quarterly market drag.

Risk Appetite

80%

DefensiveAggressive

Aggressive (80%)

Capital is aggressively deployed with cash maintained at a lean 3.34% and international equity exposure fully hedged against currency swings. The fund has rotated out of completed takeover targets straight into high-beta operational turnarounds.

Capital Deployment

75%

De-riskingDeploying

Deploying (75%)

Capital remained heavily invested with five new positions initiated and cash standing at only 3.34% of net assets. M&A cash proceeds from Delivery Hero and Integer were recycled quickly into new long positions.

Forward Guidance

80%

CautiousExpansionary

Expansionary (80%)

The investment committee continues to actively rebalance, adding five major new activist positions during the quarter while exiting completed merger deals. Clear action bias emphasizes deploying into new campaigns with board-level operational catalysts.

Language Signal

80%

BearishBullish

Bullish (80%)

The letter's language is heavily dominated by constructive terminology including compelling alpha, unicorn assets, pricing power, and strategic revaluations. Mentions of downside risks are almost entirely confined to peer operational gaps and market overreactions.

Perceived Risk

30%

Low RiskElevated

Low Risk (30%)

Macroeconomic risk discussion is minimal and limited to brief mentions of currency hedging mechanics and broader market benchmark declines. Environmental concerns focus on idiosyncratic company execution rather than systemic tail risks.

Opportunity Density

85%

ScarceAbundant

Abundant (85%)

The global investable universe has surged from 250 U.S. activist campaigns in 2012 to 674 live campaigns globally today across Japan, Europe, and North America. Management highlights abundant actionable situations from which to select their top 15 to 20 holdings.

Time Horizon

55%

Short-TermLong-Term

Multi-Year (55%)

Investment horizons balance multi-year operational turnarounds (2-4 years) with short-to-medium term transaction catalysts, such as approaching spin-off dates and M&A bids. Holdings are re-evaluated weekly with an explicit mandate to sell losers quickly.