SUMMARY:
The benchmark Russell 1000 Growth ETF rose 10.43%, while the strategy rose 13.51% net in the quarter. We have stated on many occasions that our strategy’s preference for reasonably priced and quality-oriented growth means that it may underperform during periods of speculative frenzy. Fortunately, we saw significant contributions from a few of our active bets this quarter, which led to outperformance vs. the benchmark.
For investors like us, moments like these are an essential component of how our disciplined and fact-based investment process adds value over a full-market cycle.
MARKET OVERVIEW: QUICK SUMMARY
Large Cap Growth led the way higher in Q3 again, up 10.43%, Large Cap Core rose 7.92%, and Large Cap Value rose a respectable 5.29%. Midcap, as measured by both the S&P Midcap (SPMD) and the Russell Midcap (IWR) benchmarks rose 5.52% and 5.33% respectively.
The importance of building a financial plan with your Advisor – and sticking to it – has never been more important in our view. Rarely has the market given investors such a brutal reminder that trying to time markets around macro news is a fool’s game. From the start of the year through April 8th, most US benchmarks were down between -15% and -20%; the one exception being the Large Cap Value ETF which fell “only” -10%.
L2 Large Cap Growth – Q3 2025
Table of contents
When
September 30, 2025
Who
Matthew Malgari
Dr. Sanjeev Bhojraj
Nathan Przybylo
SUMMARY:
The benchmark Russell 1000 Growth ETF rose 10.43%, while the strategy rose 13.51% net in the quarter. We have stated on many occasions that our strategy’s preference for reasonably priced and quality-oriented growth means that it may underperform during periods of speculative frenzy. Fortunately, we saw significant contributions from a few of our active bets this quarter, which led to outperformance vs. the benchmark.
For investors like us, moments like these are an essential component of how our disciplined and fact-based investment process adds value over a full-market cycle.
MARKET OVERVIEW: QUICK SUMMARY
Large Cap Growth led the way higher in Q3 again, up 10.43%, Large Cap Core rose 7.92%, and Large Cap Value rose a respectable 5.29%. Midcap, as measured by both the S&P Midcap (SPMD) and the Russell Midcap (IWR) benchmarks rose 5.52% and 5.33% respectively.
The importance of building a financial plan with your Advisor – and sticking to it – has never been more important in our view. Rarely has the market given investors such a brutal reminder that trying to time markets around macro news is a fool’s game. From the start of the year through April 8th, most US benchmarks were down between -15% and -20%; the one exception being the Large Cap Value ETF which fell “only” -10%.