Arquitos Capital Management’s Q4 2025 Letter

Arquitos Capital Partners, an investment management firm, released its Q4 2025 investor letter. Arquitos Capital Management reported a standout year in which the fund returned 82.1% net of fees in 2025, significantly outperforming the Russell 2000’s 12.8% gain. The manager noted that market conditions became increasingly selective, with capital favoring established, cash-generating businesses while smaller and less liquid growth names faced volatility, particularly across mid- and small-cap equities. Despite shifting investor preferences and fading momentum in prior outperformers,...