Bristol Gate Capital Partners US Equity Strategy’s Q4 2025 Investor Letter

Bristol Gate Capital Partners, an investment management company, published its Q4 2025 investor letter for the “US Equity Strategy”. Bristol Gate prioritizes companies with strong free cash flows, disciplined capital allocation, and high dividend growth for superior risk-adjusted returns. These resilient businesses align management interests with shareholders through sustainable dividends. Since late 2022, the market has shifted towards AI leaders, resulting in the fund’s underperformance due to narrow breadth. While the firm invests in data science and AI, the focus remains on high dividend growth companies. Recently, this narrow focus was shifting, supported by the outperformance of the S&P US Dividend Growers, S&P 500 Dividend Aristocrats, and S&P 500 Equal Weight. This market breadth expansion, along with the firm’s Data Science team’s advancements in the Distant Future Model, offers a strong opportunity for investors to buy the strategy and mitigate risks in the current concentrated market. Please review the Strategy’s top five holdings to gain insights into their key selections for 2025.

A copy of Bristol Gate Capital Partners US Equity Strategy’s Q4 2025 investor letter can be downloaded here.