Browse the world's most comprehensive database of hedge fund investor letters, sorted by recent quarter. Access primary source research from leading institutional managers.
| Quarter | Letter Date | Fund Name | QTD | YTD | Tickers | Themes | Quick Take |
|---|---|---|---|---|---|---|---|
Browse the world's most comprehensive archive of hedge fund manager letters. Access primary source research from leading institutional managers, sorted by reporting period.
| Quarter ↕ | Letter Date ↓ | Fund Name ↕ | QTD ↕ | YTD ↕ | Tickers | Keywords / Themes | Quick Take | Pitches | Current Positioning |
|---|---|---|---|---|---|---|---|---|---|
| - | -10.0% | Fund declined 13.8% in July on unprecedented momentum factor volatility unrelated to fundamentals. Core holdings SpaceX, Filtronic, and ImmunityBio trade at compelling valuations: SpaceX at 23x earnings with 87% growth, Filtronic at 12x forward earnings at factory capacity, ImmunityBio addressing $43bn+ market. Manager reduced gross exposure to 100% but added to SpaceX and Tesla, viewing dislocation as short-lived opportunity in monopolistic growth franchises. Full Quick Take Fund declined 13.8% in July on unprecedented momentum factor volatility unrelated to fundamentals. Core holdings SpaceX, Filtronic, and ImmunityBio trade at compelling valuations: SpaceX at 23x earnings with 87% growth, Filtronic at 12x forward earnings at factory capacity, ImmunityBio addressing $43bn+ market. Manager reduced gross exposure to 100% but added to SpaceX and Tesla, viewing dislocation as short-lived opportunity in monopolistic growth franchises. | |||||||
| - | - | Q2 2026 delivered a decisive equity rebound as geopolitical tensions eased and AI capex reasserted itself. Momentum dominated with one of its strongest quarters since the dot-com era, while Value's outperformance masked a semiconductor concentration bet. Quality's three-year lag now presents a mean-reversion opportunity, with history showing 82% recovery probability. Stretched valuations and momentum dispersion warrant greater factor diversification ahead. Full Quick Take Q2 2026 delivered a decisive equity rebound as geopolitical tensions eased and AI capex reasserted itself. Momentum dominated with one of its strongest quarters since the dot-com era, while Value's outperformance masked a semiconductor concentration bet. Quality's three-year lag now presents a mean-reversion opportunity, with history showing 82% recovery probability. Stretched valuations and momentum dispersion warrant greater factor diversification ahead. | - | ||||||
| - | +14.5% | Distillate Capital sees extreme market bifurcation with AI names trading at over 50x free cash flow after $25 trillion in gains against minimal fundamental improvement. The manager actively avoids AI due to unfavorable risk/reward in an increasingly competitive industry. Outside mega-caps, tremendous value exists with stocks at double-digit FCF yields. The Small/Mid Quality Value strategy trades at 8% FCF/EV yield versus 2.9% for the S&P 500, positioned for outperformance when fundamentals reassert. Full Quick Take Distillate Capital sees extreme market bifurcation with AI names trading at over 50x free cash flow after $25 trillion in gains against minimal fundamental improvement. The manager actively avoids AI due to unfavorable risk/reward in an increasingly competitive industry. Outside mega-caps, tremendous value exists with stocks at double-digit FCF yields. The Small/Mid Quality Value strategy trades at 8% FCF/EV yield versus 2.9% for the S&P 500, positioned for outperformance when fundamentals reassert. | |||||||
| - | +3.9% | Distillate's International FSV strategy lagged in Q2 2026 as AI-driven momentum and semiconductor concentration dominated returns, but the manager sees this as opportunity. AI names gained $25 trillion in value on just $300 billion of FCF growth, creating extreme valuation bifurcation. The strategy trades at 8.5% FCF/EV yield versus 4.6% for the benchmark, the widest discount since inception, positioning for outperformance when fundamentals reassert themselves as they did post-2000. Full Quick Take Distillate's International FSV strategy lagged in Q2 2026 as AI-driven momentum and semiconductor concentration dominated returns, but the manager sees this as opportunity. AI names gained $25 trillion in value on just $300 billion of FCF growth, creating extreme valuation bifurcation. The strategy trades at 8.5% FCF/EV yield versus 4.6% for the benchmark, the widest discount since inception, positioning for outperformance when fundamentals reassert themselves as they did post-2000. | |||||||
| +7.8% | +10.4% | - | Northern International Equity Fund returned 7.79% in Q2 2026, underperforming its benchmark as geopolitical tensions eased and AI-driven sectors led global markets. The fund's momentum exposure added value while quality and value factors detracted. The manager remains constructive on high-quality, attractively valued international equities despite ongoing geopolitical uncertainty and potential market volatility, believing the disciplined factor-based approach is well positioned for excess returns. Full Quick Take Northern International Equity Fund returned 7.79% in Q2 2026, underperforming its benchmark as geopolitical tensions eased and AI-driven sectors led global markets. The fund's momentum exposure added value while quality and value factors detracted. The manager remains constructive on high-quality, attractively valued international equities despite ongoing geopolitical uncertainty and potential market volatility, believing the disciplined factor-based approach is well positioned for excess returns. | - | |||||
| +5.5% | +5.2% | Source Capital is pivoting away from the AI-driven market rally, reducing exposure to semiconductor and data center beneficiaries despite long-term bullish views on the technology. The manager deployed capital into 13 new AI-agnostic mid-cap businesses at 10-15x earnings, creating a portfolio with better growth and valuation characteristics than the index. With high yield spreads at historic lows and 21% cash, they are positioned for absolute returns over relative performance. Full Quick Take Source Capital is pivoting away from the AI-driven market rally, reducing exposure to semiconductor and data center beneficiaries despite long-term bullish views on the technology. The manager deployed capital into 13 new AI-agnostic mid-cap businesses at 10-15x earnings, creating a portfolio with better growth and valuation characteristics than the index. With high yield spreads at historic lows and 21% cash, they are positioned for absolute returns over relative performance. | |||||||
| +11.5% | +16.2% | Crossroads returned 11.5% net in Q2 as concentrated small-cap portfolio captured market broadening. Nebius emerged as AI hyperscaler with $46B contracts and 50% margins. AST SpaceMobile scaled to 12 satellites with FCC authorization for 248-satellite constellation. Nintendo marked down on memory headwinds despite 150% profit growth. FTAI secured $1.5B data center power order. Manager added to positions during July momentum unwind, maintaining focus on hard catalysts independent of macro. Full Quick Take Crossroads returned 11.5% net in Q2 as concentrated small-cap portfolio captured market broadening. Nebius emerged as AI hyperscaler with $46B contracts and 50% margins. AST SpaceMobile scaled to 12 satellites with FCC authorization for 248-satellite constellation. Nintendo marked down on memory headwinds despite 150% profit growth. FTAI secured $1.5B data center power order. Manager added to positions during July momentum unwind, maintaining focus on hard catalysts independent of macro. | |||||||
| +8.8% | - | Fairtree Global Equity underperformed by 6.1% in Q2 2026 as extreme momentum concentration in AI and semiconductors drove benchmarks higher. The fund's value-oriented positioning clashed with record momentum factor outperformance fueled by leveraged ETFs and options flows. Management added semiconductor and AI exposure while maintaining conviction that narrow leadership will give way to fundamental-driven broadening, viewing current valuations as compelling despite near-term style headwinds. Full Quick Take Fairtree Global Equity underperformed by 6.1% in Q2 2026 as extreme momentum concentration in AI and semiconductors drove benchmarks higher. The fund's value-oriented positioning clashed with record momentum factor outperformance fueled by leveraged ETFs and options flows. Management added semiconductor and AI exposure while maintaining conviction that narrow leadership will give way to fundamental-driven broadening, viewing current valuations as compelling despite near-term style headwinds. | - | ||||||
| +4.9% | +8.3% | Alluvial Fund's boring portfolio of cash flow producers at deep discounts underperformed momentum-driven benchmarks in Q2 2026. The manager is adding to Zegona Communications at 7-8x free cash flow following a 27% pullback and participating fully in McDermott International's transformative rights offering that substantially deleverages the company. Portfolio trades at large discounts to intrinsic value with clear catalysts ahead across multiple holdings. Full Quick Take Alluvial Fund's boring portfolio of cash flow producers at deep discounts underperformed momentum-driven benchmarks in Q2 2026. The manager is adding to Zegona Communications at 7-8x free cash flow following a 27% pullback and participating fully in McDermott International's transformative rights offering that substantially deleverages the company. Portfolio trades at large discounts to intrinsic value with clear catalysts ahead across multiple holdings. | |||||||
| -20.5% | -17.5% | - | Q2 2026 marked an AI-driven mania rivaling the dotcom bubble. Semiconductors surged 88% to become 20% of the S&P 500 on record leverage—margin debt at $1.5 trillion, hedge fund exposure at 98th percentile. The Buffett Indicator hit 235%, dividend yields reached all-time lows. The fund is short AI winners and long AI losers, positioned for sharp reversal when hyperscaler capex cuts trigger momentum unwind. Full Quick Take Q2 2026 marked an AI-driven mania rivaling the dotcom bubble. Semiconductors surged 88% to become 20% of the S&P 500 on record leverage—margin debt at $1.5 trillion, hedge fund exposure at 98th percentile. The Buffett Indicator hit 235%, dividend yields reached all-time lows. The fund is short AI winners and long AI losers, positioned for sharp reversal when hyperscaler capex cuts trigger momentum unwind. | - | |||||
| - | - | Generation sees Q2 2026 as a compelling entry point for quality investors. Extreme AI-driven market concentration has pushed the ten largest US stocks to 42% of the S&P 500 while their high-quality sustainable holdings trade at historically low valuations despite strong fundamentals. They are highly skeptical of the semiconductor rally and retail exuberance, positioning instead for downstream AI value creation and eventual market rotation toward durable compounders. Full Quick Take Generation sees Q2 2026 as a compelling entry point for quality investors. Extreme AI-driven market concentration has pushed the ten largest US stocks to 42% of the S&P 500 while their high-quality sustainable holdings trade at historically low valuations despite strong fundamentals. They are highly skeptical of the semiconductor rally and retail exuberance, positioning instead for downstream AI value creation and eventual market rotation toward durable compounders. | |||||||
| +12.5% | +3.5% | Baron Small Cap Fund's Q2 2026 return of 12.57% trailed the Russell 2000 Growth Index due to underexposure to momentum and beta factors that dominated performance. Data center holdings including Vertiv and Legence surged on AI infrastructure demand while software names declined on AI disruption concerns. The manager sees small caps well-positioned with attractive valuations and strengthening industrial fundamentals despite near-term geopolitical uncertainty. Full Quick Take Baron Small Cap Fund's Q2 2026 return of 12.57% trailed the Russell 2000 Growth Index due to underexposure to momentum and beta factors that dominated performance. Data center holdings including Vertiv and Legence surged on AI infrastructure demand while software names declined on AI disruption concerns. The manager sees small caps well-positioned with attractive valuations and strengthening industrial fundamentals despite near-term geopolitical uncertainty. | |||||||
| +19.1% | +6.4% | Baron Discovery underperformed in Q2 2026 as momentum-driven AI winners dominated small-cap performance in what managers view as a bubble comparable to the dot-com era. They explicitly avoided chasing momentum, instead using software sector weakness to initiate Samsara and Rubrik at attractive valuations while taking profits in AI-exposed names approaching targets. The portfolio is positioned with concentrated holdings in differentiated businesses trading at compelling valuations despite market ignoring non-AI growth stories. Full Quick Take Baron Discovery underperformed in Q2 2026 as momentum-driven AI winners dominated small-cap performance in what managers view as a bubble comparable to the dot-com era. They explicitly avoided chasing momentum, instead using software sector weakness to initiate Samsara and Rubrik at attractive valuations while taking profits in AI-exposed names approaching targets. The portfolio is positioned with concentrated holdings in differentiated businesses trading at compelling valuations despite market ignoring non-AI growth stories. | |||||||
| +13.7% | +5.9% | Giverny Capital maintains a concentrated portfolio of quality earnings compounders despite Q2 underperformance driven by extreme market dispersion favoring momentum. Manager Poppe trimmed expensive AI winners Alphabet and Arista to add to undervalued financials like Schwab and Progressive growing earnings 15-25% annually but trading at half the market multiple. He views current momentum-chasing as unsustainable and expects long-term returns to follow earnings growth. Full Quick Take Giverny Capital maintains a concentrated portfolio of quality earnings compounders despite Q2 underperformance driven by extreme market dispersion favoring momentum. Manager Poppe trimmed expensive AI winners Alphabet and Arista to add to undervalued financials like Schwab and Progressive growing earnings 15-25% annually but trading at half the market multiple. He views current momentum-chasing as unsustainable and expects long-term returns to follow earnings growth. | |||||||
| - | +4.5% | Rozendal delivered strong absolute and relative returns in H1 2026 despite avoiding the AI mania that drove markets. The Iran war benefited energy holdings while precious metals shorts paid off as gold and platinum sold off. Three successful investment cycles closed including Meta at 31% IRR. The manager remains disciplined on valuation, selling silver and Meta after speculative run-ups, demonstrating that even contrarian value investors must respect price. Full Quick Take Rozendal delivered strong absolute and relative returns in H1 2026 despite avoiding the AI mania that drove markets. The Iran war benefited energy holdings while precious metals shorts paid off as gold and platinum sold off. Three successful investment cycles closed including Meta at 31% IRR. The manager remains disciplined on valuation, selling silver and Meta after speculative run-ups, demonstrating that even contrarian value investors must respect price. | |||||||
| - | +2.1% | Rozendal's Global Fund lagged in H1 2026 by avoiding the AI mania that drove tech 30% higher, while the Iran war disrupted oil and precious metals markets. Three successful investment cycles closed: Meta at 31% annualized, silver at 20%+, and Curro at 22-24%. The manager maintains disciplined valuation focus despite momentum-driven markets favoring speculation over fundamentals. Full Quick Take Rozendal's Global Fund lagged in H1 2026 by avoiding the AI mania that drove tech 30% higher, while the Iran war disrupted oil and precious metals markets. Three successful investment cycles closed: Meta at 31% annualized, silver at 20%+, and Curro at 22-24%. The manager maintains disciplined valuation focus despite momentum-driven markets favoring speculation over fundamentals. | |||||||
| - | +26.8%SI: +1551.3% | SRK Fund I gained 26.80% net of fees in the first half of 2026 by avoiding crowded AI momentum trades and focusing on mispriced micro-cap turnarounds with substantial operating leverage, disciplined capital allocation, and visible cash flows. Full Quick Take SRK Fund I gained 26.80% net of fees in the first half of 2026 by avoiding crowded AI momentum trades and focusing on mispriced micro-cap turnarounds with substantial operating leverage, disciplined capital allocation, and visible cash flows. | |||||||
| +7.1% | +14.8% | FPA Crescent is executing a contrarian pivot away from AI-driven market leaders despite positive long-term technology views, scaling back semiconductor and data center exposure due to expanded valuations and advanced capital cycle stage. The manager is deploying into 14 new AI-agnostic mid-cap businesses at 10-15x earnings and re-entering biotech at half 2020-2021 valuations, prioritizing high-quality industry leaders with strong balance sheets over momentum-driven themes asking difficult sustainability questions. Full Quick Take FPA Crescent is executing a contrarian pivot away from AI-driven market leaders despite positive long-term technology views, scaling back semiconductor and data center exposure due to expanded valuations and advanced capital cycle stage. The manager is deploying into 14 new AI-agnostic mid-cap businesses at 10-15x earnings and re-entering biotech at half 2020-2021 valuations, prioritizing high-quality industry leaders with strong balance sheets over momentum-driven themes asking difficult sustainability questions. | |||||||
| - | - | - | Carrington delivered strong Q2 performance by avoiding the semiconductor speculation bubble that dominated markets, maintaining structural underweights to US equities and overweights to China, UK, Europe and Asia. The Iran conflict drove oil volatility while retail investors pushed semiconductors to extreme valuations. Capital rotation toward value late in the quarter validated the positioning. The manager added to precious metals miners and Japanese small caps while reducing bonds for cash as inflation persists above target. Full Quick Take Carrington delivered strong Q2 performance by avoiding the semiconductor speculation bubble that dominated markets, maintaining structural underweights to US equities and overweights to China, UK, Europe and Asia. The Iran conflict drove oil volatility while retail investors pushed semiconductors to extreme valuations. Capital rotation toward value late in the quarter validated the positioning. The manager added to precious metals miners and Japanese small caps while reducing bonds for cash as inflation persists above target. | - | |||||
| +14.1% | +16.1% | - | BlackRock Advantage Global Fund returned 14.19% in Q2 2026, slightly trailing its benchmark. Thematic insights identifying semiconductor and computer equipment opportunities drove outperformance, while sentiment measures analyzing momentum and trend-following indicators detracted as market leadership shifted. AI remained the primary return driver until late-quarter volatility triggered a technology correction and defensive rotation as monetary policy expectations turned hawkish. Full Quick Take BlackRock Advantage Global Fund returned 14.19% in Q2 2026, slightly trailing its benchmark. Thematic insights identifying semiconductor and computer equipment opportunities drove outperformance, while sentiment measures analyzing momentum and trend-following indicators detracted as market leadership shifted. AI remained the primary return driver until late-quarter volatility triggered a technology correction and defensive rotation as monetary policy expectations turned hawkish. | - | |||||
| +11.2% | -4.8% | Polen International Growth lagged in Q2 2026 as narrow, momentum-driven rally favored semiconductors and AI infrastructure while penalizing Software, Healthcare, and Consumer holdings despite intact fundamentals. Manager redeployed capital toward businesses with stronger current momentum and visible demand tailwinds, exiting InPost and Medtronic. Adapting to market structure dominated by thematic flows and passive concentration while maintaining discipline on owning competitively advantaged compounders. Full Quick Take Polen International Growth lagged in Q2 2026 as narrow, momentum-driven rally favored semiconductors and AI infrastructure while penalizing Software, Healthcare, and Consumer holdings despite intact fundamentals. Manager redeployed capital toward businesses with stronger current momentum and visible demand tailwinds, exiting InPost and Medtronic. Adapting to market structure dominated by thematic flows and passive concentration while maintaining discipline on owning competitively advantaged compounders. | - | ||||||
| +6.6% | -5.4% | SGA's quality growth portfolio delivered strong fundamentals with 15% revenue and 20% EPS growth but underperformed as extreme momentum and AI infrastructure spending dominated Q2 returns. Portfolio now trades at steepest discount to market in 23-year history despite predictable compounding from durable franchises. Manager views current valuation dislocation as unusually attractive opportunity with portfolio positioned for 15% revenue and 19% earnings growth over three years. Full Quick Take SGA's quality growth portfolio delivered strong fundamentals with 15% revenue and 20% EPS growth but underperformed as extreme momentum and AI infrastructure spending dominated Q2 returns. Portfolio now trades at steepest discount to market in 23-year history despite predictable compounding from durable franchises. Manager views current valuation dislocation as unusually attractive opportunity with portfolio positioned for 15% revenue and 19% earnings growth over three years. | |||||||
| +7.6% | -3.7% | SGA's International Growth portfolio delivered 7.6% net in Q2 but underperformed as extreme momentum in AI infrastructure and memory stocks dominated markets. Portfolio fundamentals remained strong with 10% median growth and 60% of holdings beating estimates, yet valuations compressed to near-record discounts versus the benchmark. With 3.4% Enterprise Yield and positioning for 12% revenue and 17% earnings growth over three years, the firm sees compelling opportunity as quality compounders trade at historically attractive levels. Full Quick Take SGA's International Growth portfolio delivered 7.6% net in Q2 but underperformed as extreme momentum in AI infrastructure and memory stocks dominated markets. Portfolio fundamentals remained strong with 10% median growth and 60% of holdings beating estimates, yet valuations compressed to near-record discounts versus the benchmark. With 3.4% Enterprise Yield and positioning for 12% revenue and 17% earnings growth over three years, the firm sees compelling opportunity as quality compounders trade at historically attractive levels. | |||||||
| +6.3% | -12.0% | Polen Focus Growth lagged in Q2 2026 as the market rewarded AI infrastructure momentum while penalizing software and healthcare holdings. The managers pivoted aggressively, selling slower-growth positions to fund aerospace, power equipment, data centers, and semiconductor investments where they see structural advantages meeting strong current demand. They're adapting to a momentum-driven market while maintaining their focus on competitively advantaged businesses capable of compounding long-term earnings. Full Quick Take Polen Focus Growth lagged in Q2 2026 as the market rewarded AI infrastructure momentum while penalizing software and healthcare holdings. The managers pivoted aggressively, selling slower-growth positions to fund aerospace, power equipment, data centers, and semiconductor investments where they see structural advantages meeting strong current demand. They're adapting to a momentum-driven market while maintaining their focus on competitively advantaged businesses capable of compounding long-term earnings. | |||||||
| +7.2% | -7.6% | SGA's quality growth portfolio delivered strong fundamentals with 12% revenue and 14% EPS growth but underperformed as extreme momentum leadership favored AI infrastructure speculation. Portfolio now trades at steepest discount to market since 2011 inception despite positioning for 16% revenue and 20% earnings growth from predictable businesses. Manager sees compelling opportunity as AI hype matures and memory cycle reminds investors cyclicality persists. Full Quick Take SGA's quality growth portfolio delivered strong fundamentals with 12% revenue and 14% EPS growth but underperformed as extreme momentum leadership favored AI infrastructure speculation. Portfolio now trades at steepest discount to market since 2011 inception despite positioning for 16% revenue and 20% earnings growth from predictable businesses. Manager sees compelling opportunity as AI hype matures and memory cycle reminds investors cyclicality persists. | |||||||
| +0.9% | -11.5% | SGA's EM Growth portfolio underperformed in Q2 as AI momentum stocks dominated, but portfolio companies delivered strong fundamentals with 18% revenue and 20% earnings growth. The portfolio trades at its steepest discount to the index since 2014 inception despite positioning for 19% annual earnings growth over three years. SGA views cyclical AI beneficiaries as unsustainable and maintains high conviction in quality compounders at unprecedented valuations. Full Quick Take SGA's EM Growth portfolio underperformed in Q2 as AI momentum stocks dominated, but portfolio companies delivered strong fundamentals with 18% revenue and 20% earnings growth. The portfolio trades at its steepest discount to the index since 2014 inception despite positioning for 19% annual earnings growth over three years. SGA views cyclical AI beneficiaries as unsustainable and maintains high conviction in quality compounders at unprecedented valuations. | |||||||
| +7.0% | -5.9% | The fund returned 7.03% in Q2 2026 but lagged the 15.49% benchmark as AI-related momentum drove extreme factor performance favoring growth over value. The managers maintain 30 concentrated positions in quality companies trading at discounts to intrinsic value, with an estimated price-to-value in the upper-70s. Despite near-term underperformance, they believe their disciplined value approach will deliver adequate multi-year returns as extremes normalize. Full Quick Take The fund returned 7.03% in Q2 2026 but lagged the 15.49% benchmark as AI-related momentum drove extreme factor performance favoring growth over value. The managers maintain 30 concentrated positions in quality companies trading at discounts to intrinsic value, with an estimated price-to-value in the upper-70s. Despite near-term underperformance, they believe their disciplined value approach will deliver adequate multi-year returns as extremes normalize. | - | ||||||
| +11.8% | +7.8% | The London Company SMID Cap returned 11.8% net in Q2 but lagged the Russell 2500's 20.3% gain as momentum trumped quality. Semiconductors and AI infrastructure drove the rally, benefiting holdings like Entegris and Qualys. The manager made no trades, maintaining conviction in durable businesses despite near-term underperformance. Outlook is constructive but cautious given fragile AI capex dynamics, elevated valuations, and sticky inflation limiting Fed flexibility. Full Quick Take The London Company SMID Cap returned 11.8% net in Q2 but lagged the Russell 2500's 20.3% gain as momentum trumped quality. Semiconductors and AI infrastructure drove the rally, benefiting holdings like Entegris and Qualys. The manager made no trades, maintaining conviction in durable businesses despite near-term underperformance. Outlook is constructive but cautious given fragile AI capex dynamics, elevated valuations, and sticky inflation limiting Fed flexibility. | - | ||||||
| +4.7% | +11.7% | Hotchkis & Wiley underperformed in Q2 2026 by avoiding the speculative AI-driven momentum rally that pushed valuations beyond dot-com bubble levels. The managers question the sustainability of earnings growth fueled by $850 billion in AI data center spending against minimal revenue generation. They maintain conviction in energy despite oil price weakness and added healthcare exposure, positioning for market reversion to rational fundamentals and valuation discipline. Full Quick Take Hotchkis & Wiley underperformed in Q2 2026 by avoiding the speculative AI-driven momentum rally that pushed valuations beyond dot-com bubble levels. The managers question the sustainability of earnings growth fueled by $850 billion in AI data center spending against minimal revenue generation. They maintain conviction in energy despite oil price weakness and added healthcare exposure, positioning for market reversion to rational fundamentals and valuation discipline. | |||||||
| +5.7% | +5.9% | Hotchkis & Wiley underperformed in Q2 2026 by avoiding the AI-driven semiconductor rally they view as a speculative bubble with unsustainable valuations. The fund favors enterprise software where AI disruption fears are overstated and has added to overlooked healthcare and consumer staples. Management expects mean reversion when market euphoria subsides and believes their attractively valued, high-quality portfolio is positioned for that outcome. Full Quick Take Hotchkis & Wiley underperformed in Q2 2026 by avoiding the AI-driven semiconductor rally they view as a speculative bubble with unsustainable valuations. The fund favors enterprise software where AI disruption fears are overstated and has added to overlooked healthcare and consumer staples. Management expects mean reversion when market euphoria subsides and believes their attractively valued, high-quality portfolio is positioned for that outcome. | |||||||
| +14.3% | +8.6% | Conestoga's Small Cap strategy lagged in 2Q26 as AI-driven speculation created historic market concentration, with semiconductors up 98% and high-beta stocks dominating. Portfolio companies delivered superior fundamentals—14.3% sales growth versus 8.4% for the benchmark—but quality factors underperformed. The manager believes this narrow leadership will not persist as AI supply constraints ease and expects quality characteristics to reassert themselves as market leadership broadens and monetary policy potentially tightens. Full Quick Take Conestoga's Small Cap strategy lagged in 2Q26 as AI-driven speculation created historic market concentration, with semiconductors up 98% and high-beta stocks dominating. Portfolio companies delivered superior fundamentals—14.3% sales growth versus 8.4% for the benchmark—but quality factors underperformed. The manager believes this narrow leadership will not persist as AI supply constraints ease and expects quality characteristics to reassert themselves as market leadership broadens and monetary policy potentially tightens. | |||||||
| +7.0% | -3.9% | Conestoga SMid Cap returned 7.04% but lagged the benchmark's 24.02% surge driven by extreme AI speculation in semiconductors and high-beta stocks. Portfolio fundamentals remained strong with sales and EBITDA growth exceeding benchmarks. Defense and data center cooling holdings led gains. The firm added natural gas infrastructure positions and maintains conviction that quality characteristics will outperform as speculative leadership normalizes and rates potentially tighten. Full Quick Take Conestoga SMid Cap returned 7.04% but lagged the benchmark's 24.02% surge driven by extreme AI speculation in semiconductors and high-beta stocks. Portfolio fundamentals remained strong with sales and EBITDA growth exceeding benchmarks. Defense and data center cooling holdings led gains. The firm added natural gas infrastructure positions and maintains conviction that quality characteristics will outperform as speculative leadership normalizes and rates potentially tighten. | |||||||
| -6.6% | +1.4% | Upslope suffered in Q2 2026's momentum-driven mania as investors abandoned quality, cash-flowing businesses for AI speculation. The manager views this as similar to 2021 and is finding unusual opportunities to buy good companies cheaply. Portfolio remains concentrated in defensive, well-executing businesses with rising earnings and falling valuations. New position in Magnum Ice Cream reflects spin-off opportunity in out-of-favor consumer staples. Expects eventual normalization toward fundamentals-based investing. Full Quick Take Upslope suffered in Q2 2026's momentum-driven mania as investors abandoned quality, cash-flowing businesses for AI speculation. The manager views this as similar to 2021 and is finding unusual opportunities to buy good companies cheaply. Portfolio remains concentrated in defensive, well-executing businesses with rising earnings and falling valuations. New position in Magnum Ice Cream reflects spin-off opportunity in out-of-favor consumer staples. Expects eventual normalization toward fundamentals-based investing. | |||||||
| +5.1% | +0.9% | Far View returned +0.91% in H1 2026, benefiting from Westwing's turnaround and UNFI's cyberattack recovery, offset by Sanuwave's wound-care market disruption and Russell 2000 removal. The manager established a mid-sized position in Upsales Technology AB at a double-digit free cash flow yield after a demerger revealed hidden 35%+ EBITDA margin profitability. Despite momentum-driven markets, the fund remains fully invested, focused on overlooked small-cap value opportunities. Full Quick Take Far View returned +0.91% in H1 2026, benefiting from Westwing's turnaround and UNFI's cyberattack recovery, offset by Sanuwave's wound-care market disruption and Russell 2000 removal. The manager established a mid-sized position in Upsales Technology AB at a double-digit free cash flow yield after a demerger revealed hidden 35%+ EBITDA margin profitability. Despite momentum-driven markets, the fund remains fully invested, focused on overlooked small-cap value opportunities. | |||||||
| +6.5% | -5.4% | Bell Global Equities underperformed in Q2 2026 as extreme momentum concentration overwhelmed its quality-focused approach. The fund added semiconductor equipment and AI infrastructure plays while maintaining valuation discipline. Portfolio holdings now trade at 25% discounts to historical averages despite resilient fundamentals. Management views the current quality dislocation as among the most extreme observed and believes the portfolio is positioned for attractive long-term returns as fundamentals regain prominence. Full Quick Take Bell Global Equities underperformed in Q2 2026 as extreme momentum concentration overwhelmed its quality-focused approach. The fund added semiconductor equipment and AI infrastructure plays while maintaining valuation discipline. Portfolio holdings now trade at 25% discounts to historical averages despite resilient fundamentals. Management views the current quality dislocation as among the most extreme observed and believes the portfolio is positioned for attractive long-term returns as fundamentals regain prominence. | |||||||
| +0.6% | -8.1% | Bell Global Emerging Companies underperformed in Q2 2026 as momentum-driven markets favored speculation over quality, but the fund's disciplined approach has created compelling valuations. Portfolio holdings trade at 25% discounts to historical multiples while fundamentals remain strong. New positions in AI infrastructure plays like Screen Holdings, Legrand, and Organo offer differentiated exposure at attractive entry points. Management sees this as one of the most attractive risk-reward setups in years. Full Quick Take Bell Global Emerging Companies underperformed in Q2 2026 as momentum-driven markets favored speculation over quality, but the fund's disciplined approach has created compelling valuations. Portfolio holdings trade at 25% discounts to historical multiples while fundamentals remain strong. New positions in AI infrastructure plays like Screen Holdings, Legrand, and Organo offer differentiated exposure at attractive entry points. Management sees this as one of the most attractive risk-reward setups in years. | |||||||
| - | +3.9% | Distillate's International FSV strategy lagged in Q2 2026 as AI-driven momentum and semiconductor concentration dominated returns, but the manager sees this as opportunity. AI names gained $25 trillion in value on just $300 billion of FCF growth, creating extreme valuation bifurcation. The strategy trades at 8.5% FCF/EV yield versus 4.6% for the benchmark, the widest discount since inception, positioning for outperformance when fundamentals reassert themselves as they did post-2000. Full Quick Take Distillate's International FSV strategy lagged in Q2 2026 as AI-driven momentum and semiconductor concentration dominated returns, but the manager sees this as opportunity. AI names gained $25 trillion in value on just $300 billion of FCF growth, creating extreme valuation bifurcation. The strategy trades at 8.5% FCF/EV yield versus 4.6% for the benchmark, the widest discount since inception, positioning for outperformance when fundamentals reassert themselves as they did post-2000. | |||||||
| +9.4% | +2.5% | Wedgewood underperformed in Q2 as momentum stocks dominated, but the manager is doubling down on hyperscalers, viewing their massive AI capex as rational given 30%+ returns and investment gains hedging component inflation. Taiwan Semiconductor and Alphabet drove performance. The manager warns semiconductors are at cyclical peaks despite historic growth. New position Hermès offers rare luxury pricing power from artisanal scarcity. Quality stocks at 1999-level discounts present opportunity. Full Quick Take Wedgewood underperformed in Q2 as momentum stocks dominated, but the manager is doubling down on hyperscalers, viewing their massive AI capex as rational given 30%+ returns and investment gains hedging component inflation. Taiwan Semiconductor and Alphabet drove performance. The manager warns semiconductors are at cyclical peaks despite historic growth. New position Hermès offers rare luxury pricing power from artisanal scarcity. Quality stocks at 1999-level discounts present opportunity. | |||||||
| - | - | Westfield trimmed AI exposure after semiconductors hit technical extremes, rotating into Healthcare, Industrials, and Financials. Healthcare offers compelling value with earnings inflection and $1.4 trillion pharma M&A firepower. Small caps outperformed Mag 7 by 24% year-to-date and could sustain multi-year outperformance. Stock correlations at eight-year lows favor active management. Momentum is extended and correcting—rotate away from mega-cap tech into quality laggards with improving fundamentals. Full Quick Take Westfield trimmed AI exposure after semiconductors hit technical extremes, rotating into Healthcare, Industrials, and Financials. Healthcare offers compelling value with earnings inflection and $1.4 trillion pharma M&A firepower. Small caps outperformed Mag 7 by 24% year-to-date and could sustain multi-year outperformance. Stock correlations at eight-year lows favor active management. Momentum is extended and correcting—rotate away from mega-cap tech into quality laggards with improving fundamentals. | - | ||||||
| -4.6% | -1.5% | Leaven Partners lost -4.6% in Q2 2026 as markets rotated aggressively into momentum, AI, and speculative growth at extreme valuations, exemplified by SpaceX's $1.8-2.0 trillion IPO. The fund's value-oriented holdings experienced sustained selling pressure despite sound fundamentals. Manager Brent Jackson maintains disciplined conviction in his value approach, refusing to abandon strategy at peak valuations despite significant underperformance and acknowledging the career risk of staying the course. Full Quick Take Leaven Partners lost -4.6% in Q2 2026 as markets rotated aggressively into momentum, AI, and speculative growth at extreme valuations, exemplified by SpaceX's $1.8-2.0 trillion IPO. The fund's value-oriented holdings experienced sustained selling pressure despite sound fundamentals. Manager Brent Jackson maintains disciplined conviction in his value approach, refusing to abandon strategy at peak valuations despite significant underperformance and acknowledging the career risk of staying the course. | - | ||||||
| +21.1% | - | Burke Wealth's Focused Growth returned 21.1% in Q2 2026, capitalizing on AI infrastructure dominance through Nvidia, memory shortage beneficiary Micron, and new datacenter power play Eaton. Manager sold Abbott and Lowe's on execution concerns and mortgage rate dependency, initiated Apollo on indiscriminate sell-off. Explores resource scarcity—power, memory, capital, talent—as AI's defining constraint. Portfolio's balance sheet strength positions it well as capital access tightens for weaker credits. Full Quick Take Burke Wealth's Focused Growth returned 21.1% in Q2 2026, capitalizing on AI infrastructure dominance through Nvidia, memory shortage beneficiary Micron, and new datacenter power play Eaton. Manager sold Abbott and Lowe's on execution concerns and mortgage rate dependency, initiated Apollo on indiscriminate sell-off. Explores resource scarcity—power, memory, capital, talent—as AI's defining constraint. Portfolio's balance sheet strength positions it well as capital access tightens for weaker credits. | |||||||
| - | - | QV Investors is avoiding AI-related stocks trading at extreme valuations with uncertain long-term value creation, instead deploying capital into quality businesses with durable moats that have been sold down to rare discounts. The firm built positions in Constellation Software and Microsoft where AI disruption concerns are overblown, and added to existing quality holdings as capital chasing the AI narrative creates compelling opportunities in overlooked areas. Full Quick Take QV Investors is avoiding AI-related stocks trading at extreme valuations with uncertain long-term value creation, instead deploying capital into quality businesses with durable moats that have been sold down to rare discounts. The firm built positions in Constellation Software and Microsoft where AI disruption concerns are overblown, and added to existing quality holdings as capital chasing the AI narrative creates compelling opportunities in overlooked areas. | - | ||||||
| - | -2.9% | Fundsmith is adapting to a momentum-dominated market by increasing portfolio activity while maintaining its quality focus. The fund executed significant portfolio changes in H1 2026, exiting underperformers and initiating positions in companies with strong fundamental momentum across data center infrastructure, payments, streaming, and AI-driven advertising. Despite near-term underperformance, the portfolio's superior fundamentals and reasonable valuation position it for long-term outperformance when momentum inevitably reverses. Full Quick Take Fundsmith is adapting to a momentum-dominated market by increasing portfolio activity while maintaining its quality focus. The fund executed significant portfolio changes in H1 2026, exiting underperformers and initiating positions in companies with strong fundamental momentum across data center infrastructure, payments, streaming, and AI-driven advertising. Despite near-term underperformance, the portfolio's superior fundamentals and reasonable valuation position it for long-term outperformance when momentum inevitably reverses. | |||||||
| - | - | ClearBridge Large Cap Growth transitioned to non-diversified status in Q2 2026, gaining flexibility to concentrate in highest-conviction AI infrastructure plays. The managers repositioned ahead of the Russell reconstitution, doubling Alphabet, initiating Micron for memory exposure, and participating in SpaceX's historic IPO. Despite quarterly underperformance, they see improved alpha generation potential from reduced benchmark concentration, broader market participation, and continued AI infrastructure leadership as hyperscaler spending drives IT sector earnings growth. Full Quick Take ClearBridge Large Cap Growth transitioned to non-diversified status in Q2 2026, gaining flexibility to concentrate in highest-conviction AI infrastructure plays. The managers repositioned ahead of the Russell reconstitution, doubling Alphabet, initiating Micron for memory exposure, and participating in SpaceX's historic IPO. Despite quarterly underperformance, they see improved alpha generation potential from reduced benchmark concentration, broader market participation, and continued AI infrastructure leadership as hyperscaler spending drives IT sector earnings growth. | - | ||||||
| - | - | - | June delivered an orderly unwind of the year's most crowded trades. AI and Asia exposure hit record highs mid-month before the fastest cut on record, yet fundamental long/short managers still closed H1 solidly higher with Asia leading near 7%. Momentum took its worst five-day run since December 2023. Semiconductors remain conviction despite selling. Broadening is talked about but unproven, with appetite outside AI thin. Full Quick Take June delivered an orderly unwind of the year's most crowded trades. AI and Asia exposure hit record highs mid-month before the fastest cut on record, yet fundamental long/short managers still closed H1 solidly higher with Asia leading near 7%. Momentum took its worst five-day run since December 2023. Semiconductors remain conviction despite selling. Broadening is talked about but unproven, with appetite outside AI thin. | - | |||||
| +11.2% | +1.8% | Torre Financial's concentrated quality-growth portfolio trails Q2's momentum-driven rally but maintains superior economics: 25.6% ROIC and 28.3% cash-on-capital returns versus 23.6% and 20.5% for the S&P 500, trading cheaper at 2.9% FCF yield. AI infrastructure holdings led gains while three quality franchises de-rated on intact fundamentals, prompting disciplined additions. The manager prioritizes durable business models over chasing momentum past intrinsic value. Full Quick Take Torre Financial's concentrated quality-growth portfolio trails Q2's momentum-driven rally but maintains superior economics: 25.6% ROIC and 28.3% cash-on-capital returns versus 23.6% and 20.5% for the S&P 500, trading cheaper at 2.9% FCF yield. AI infrastructure holdings led gains while three quality franchises de-rated on intact fundamentals, prompting disciplined additions. The manager prioritizes durable business models over chasing momentum past intrinsic value. | - | ||||||
| - | - | Passive investing has reached dangerous extremes with three funds holding $2.6Tn and top-10 S&P 500 names representing 38-39% of the index. Computer-driven momentum has detached pricing from fundamentals, with negative-earnings companies outperforming and Nasdaq volatility spiking. The manager positions defensively in underrepresented sectors, particularly energy, expecting commodities to outperform equities over 5-10 years when inevitable rotation occurs. Full Quick Take Passive investing has reached dangerous extremes with three funds holding $2.6Tn and top-10 S&P 500 names representing 38-39% of the index. Computer-driven momentum has detached pricing from fundamentals, with negative-earnings companies outperforming and Nasdaq volatility spiking. The manager positions defensively in underrepresented sectors, particularly energy, expecting commodities to outperform equities over 5-10 years when inevitable rotation occurs. | - | ||||||
| - | - | - | Bahl & Gaynor maintains their disciplined dividend growth approach despite extreme market whipsaw from Q1 fear to April momentum-driven rally. With market breadth at 30-year lows and only 23% of stocks beating the index, they view quality dividend payers as on sale. Multiple conflicting signals remain unresolved including inflation persistence and policy divergence, reinforcing their focus on resilient portfolios built for long-term compounding. Full Quick Take Bahl & Gaynor maintains their disciplined dividend growth approach despite extreme market whipsaw from Q1 fear to April momentum-driven rally. With market breadth at 30-year lows and only 23% of stocks beating the index, they view quality dividend payers as on sale. Multiple conflicting signals remain unresolved including inflation persistence and policy divergence, reinforcing their focus on resilient portfolios built for long-term compounding. | - | |||||
| - | - | Emerging markets surged 24.1% in Q2 2026, outpacing developed markets for the sixth straight quarter, but the rally was strikingly narrow. Three AI semiconductor mega-caps—TSMC, Samsung, and SK Hynix—accounted for over 75% of the index return, driving Korea up 88% and Taiwan 49%. Beyond AI infrastructure, the market remained hostage to geopolitical risk and Fed hawkishness, with China, Brazil, energy, and consumer discretionary all declining. Full Quick Take Emerging markets surged 24.1% in Q2 2026, outpacing developed markets for the sixth straight quarter, but the rally was strikingly narrow. Three AI semiconductor mega-caps—TSMC, Samsung, and SK Hynix—accounted for over 75% of the index return, driving Korea up 88% and Taiwan 49%. Beyond AI infrastructure, the market remained hostage to geopolitical risk and Fed hawkishness, with China, Brazil, energy, and consumer discretionary all declining. | - | ||||||
| +13.5% | +9.2% | The Mairs & Power Fund focuses on navigating volatile market cycles by investing in high-quality, durable businesses with strong balance sheets and competitive moats. Despite trailing the S&P 500 YTD due to disciplined valuation guidelines, the fund maintains conviction in long-term compounders and downstream AI beneficiaries while capitalizing on temporary valuation dislocations to establish resilient new holdings. Full Quick Take The Mairs & Power Fund focuses on navigating volatile market cycles by investing in high-quality, durable businesses with strong balance sheets and competitive moats. Despite trailing the S&P 500 YTD due to disciplined valuation guidelines, the fund maintains conviction in long-term compounders and downstream AI beneficiaries while capitalizing on temporary valuation dislocations to establish resilient new holdings. |
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