We continue to believe the opportunities in the Midcap space offer generational opportunities to invest in high-quality companies with significant growth potential at reasonable to outright cheap prices. Investor herding into typically opaque, complex, and expensive private funds based on a historical returns we feel are unlikely to be repeated appears to be reversing.
We believe there may be a paradigm shift underway as everyone from endowments to foreign countries recognize that the 29,000 companies held in private funds are unable to list due to valuations above what public markets will bear. We believe listed equities offer some of the most compelling opportunities we have seen in our 30 years of managing money.
L2 Midcap Trade Commentary – May Q1 2025
Table of contents
When
May 21, 2025
Who
Matthew Malgari
Dr. Sanjeev Bhojraj
Nathan Przybylo
ASSET CLASS COMMENTS:
We continue to believe the opportunities in the Midcap space offer generational opportunities to invest in high-quality companies with significant growth potential at reasonable to outright cheap prices. Investor herding into typically opaque, complex, and expensive private funds based on a historical returns we feel are unlikely to be repeated appears to be reversing.
We believe there may be a paradigm shift underway as everyone from endowments to foreign countries recognize that the 29,000 companies held in private funds are unable to list due to valuations above what public markets will bear. We believe listed equities offer some of the most compelling opportunities we have seen in our 30 years of managing money.