Aristotle Small Cap Equity Fund’s Q4 2025 Investor Letter

Aristotle Capital Boston, LLC, an investment advisor, released its fourth-quarter investor letter for “Small Cap Equity Fund”. U.S. small-cap equities reported modest gains in the fourth quarter of 2025. The quarter started as a continuation of the post-Liberation Day risk-on market environment, while it ended on a strong note, driven by a positive macroeconomic backdrop. Attractive valuations, earnings recovery, broadening of the market, and a shift from mega-cap stocks supported small caps in the quarter. The Aristotle Small Cap Equity Fund (Class I-2) returned 1.96% in Q4 2025, trailing the 2.19% total return of the Russell 2000 Index. Security selection supported overall performance, while allocation effects detracted from performance. Please review the Strategy’s top five holdings to gain insights into their key selections for 2025.

A copy of Aristotle Small Cap Equity Fund’s Q4 2025 investor letter can be downloaded here.