Investor Letters
Letters through August 31, 2026
13 letters reporting on the period ending August 31, 2026, in each firm's own reckoning.
- Asset Value Investors Ltd AVI Japan Opportunity Trust August 2026 AVI Japan Opportunity Trust argued that Japan’s governance reforms are shifting toward measurable capital-allocation progress and concentrated engagement in companies with surplus assets and weak returns. It detailed earnings momentum and a tender offer at Sharingtechnology, buybacks and governance proposals at Kurabo, and Mitsubishi Logistics’ real-estate fund and asset-recycling strategy. August 2026 3106 $1.2B3989 $234M9301 $3.2B
- Asset Value Investors Ltd AVI Global Trust Mitsui O.S.K. Lines was added on the view that its fleet and Daibiru stake are materially undervalued, while activist pressure, capital returns and stronger freight markets could narrow the discount; the holding was trimmed after its August rally. AVI agreed to be acquired by Pacific Asset Management while retaining its brand, investment teams and decision-making independence. August 2026 MSLOF $17B
- Quercus Fund 2026 Second Letter to Shareholders Quercus Fund retained Sanjiang Chemicals as its largest holding, arguing that feedstock flexibility, MTBE expansion and ethane logistics have strengthened its cost position despite erratic trading. It sold Compagnie de l’Odet and Braskem Idesa bonds for better-priced opportunities, then bought First Philippine Holdings and Lopez Holdings for their discounted control of Philippine power assets and Meralco stake. 2026 (Jan-Aug) FCODF $4.8B
- 1851 Capital August 2026 Monthly Report The 1851 Emerging Companies Fund added new positions amid equity-market volatility as mixed domestic data, falling housing prices and sticky inflation raised uncertainty. Contributors included COG Financial, L1 Group, FDC and BetMakers, while IRESS and SmartGroup detracted after outlook and cost concerns. August 2026 —
- Ophir Asset Management TMT: it's dynamite Ophir Global Funds kept software and semiconductor weights near benchmark levels, avoiding concentrated bets on either side of the AI momentum trade. The managers argue that crowded hedge-fund positioning, stretched valuations and improving software results triggered a violent reversal, while idiosyncratic small-cap earnings remain their focus. August 2026 —
- QuantStreet Capital September 2026 Update QuantStreet attributes the global bond selloff to stronger growth expectations and AI-financed investment more than inflation or an imminent fiscal crisis. It tightened tail-risk limits, increased short-term Treasury exposure, reduced S&P 500 exposure, and exited commodities over the risk of ample oil supply amid the Iran war. August 2026 —
- Asset Value Investors Ltd AVI Global Special Situations AVI Global Special Situations added Korean holdings and established positions in Mitsui O.S.K. Lines and Bio-Rad Laboratories. It argues Mitsui O.S.K. Lines trades below the value of its fleet and Daibiru real-estate stake, while activist pressure, capital-return plans and stronger freight markets could drive a rerating. August 2026 MSLOF $17B
- PenderFund Capital Management Ltd. Pender Small Cap Opportunities Fund - August 2026 Pender Small Cap Opportunities Fund retained defensive positioning while seeking undervalued small-cap businesses, with high conviction in software and AI infrastructure spending. It added to Tantalus after its selloff, backed McDermott’s restructuring catalysts, and cited VitalHub’s recurring-revenue milestone, cash balance and buyback plan. August 2026 TGMPF $162MVHI $327M
- Forager Funds Management Monthly Report August 2026: Australian Shares Fund Bravura Solutions’ margin expansion, cash generation and shareholder payouts have driven a recovery that has brought the shares closer to fair value. EML Payments remains a small holding amid continued deterioration, while IDP Education, Nanosonics, Tyro Payments and Praemium face crucial tests in the coming financial year. August 2026 BVSFF $981MEMCHF $63MIDPUF $618M
- Oldfield Partners August 2026 Commentary Overstone World All Cap Equity Fund argues that private-equity drawdowns and weak distributions could force institutions to sell liquid US equities while redirecting capital toward cheaper public markets outside the United States. The portfolio retains a large UK allocation, where political malaise has left many companies modestly valued despite the market’s recent strength. August 2026 —
- Guinness Global Investors Guinness Global Equity Income Investment Commentary – September 2026 Guinness Global Equity Income sold Aflac, citing a saturated Japanese market, buyback-supported earnings and a richer valuation, and added Nvidia on AI-infrastructure demand, CUDA-driven switching costs and dividend-growth capacity. It argues Treasury long-bond buybacks could foster fiscal dominance, while Deutsche Boerse and Texas Instruments retain structural growth cases. August 2026 AFL $59BCRM $197BCSCO $433B
- Myrmikan Capital, LLC AI Debt Failure Will Prompt Another Wave of Fed Bailouts AI debt failure will prompt another wave of Fed bailouts, argues that central-bank rate setting has repeatedly preserved impaired borrowers and prolonged credit distortions. It traces the pattern from Continental Illinois and the Greenspan put to the technology boom, disputing claims that computers delivered the productivity gains used to justify easier money. August 2026 —
- Protean Funds Bats With Rabies Protean launched Aktiesparfond Global as a low-cost active alternative built around disciplined capital allocation and manager Olle Qvarnström. Small Cap added Surgical Science on depressed valuation and backed Bavarian Nordic's vaccine franchise. Select covered its Holmen short, bought other pulp and forestry names, and added to its Essity short. August 2026 BVNKF $2.6BSUSRF $274M
