Ace River Capital’s Q4 2025 Investor Letter

Ace River Capital, an investment management company, released its fourth-quarter 2025 investor letter. In Q4 2025, the Fund returned -4.55% compared to the S&P 500’s (SPX) +2.7% return and the Russell 2000’s (RTY) +2.2% return. The Fund has delivered -21.95% for the full year compared to +18.0% and +12.8% returns for the indexes, respectively. The firm attributed the unfavorable outcomes in the year to valuation pressures and unique events. Ace River Capital is a highly concentrated portfolio of small- and micro-cap businesses with resilient fundamentals, a solid asset base, and significant reinvestment potential. Please review the Fund’s top five holdings to gain insights into their key selections for 2025.

A copy of Ace River Capital’s Q4 2025 investor letter can be downloaded here.