Aoris Investment Management, a specialist international equity manager, released its “Aoris International Fund” Q4 2025 investor letter. A copy of the letter can be downloaded here. The fund focuses on investing in high-quality, wealth-creating businesses run by prudent and capable management and aims to deliver a return of 8–12% p.a. after fees over a 5–7-year market cycle. International equity markets, represented by the MSCI AC World Accumulation Index ex Australia, rose by 2.7% in AUD for the December quarter. In local currencies, equity market gains were 3.7%. In the quarter, Portfolio’s Class A (Unhedged) returned –0.5% after fees compared to a 2.7% return for the benchmark. The fund’s Class C (Hedged) gained 0.1%, 3.6% less than its benchmark. In addition, you can check the Fund’s top 5 holdings to determine its best picks for 2025.
In its fourth-quarter 2025 investor letter, Aoris Investment Management highlighted stocks like Microsoft Corporation (NASDAQ:MSFT). Microsoft Corporation (NASDAQ:MSFT) is a multinational software company that develops and supports software, services, devices, and solutions. On March 11, 2026, Microsoft Corporation (NASDAQ:MSFT) stock closed at $404.88 per share. One-month return of Microsoft Corporation (NASDAQ:MSFT) was 0.76%, and its shares gained 6.89% over the past 52 weeks. Microsoft Corporation (NASDAQ:MSFT) has a market capitalization of $3.009 trillion.
Aoris Investment Management stated the following regarding Microsoft Corporation (NASDAQ:MSFT) in its fourth quarter 2025 investor letter:
“The major detractors from returns in the quarter were RELX, Experian and Microsoft Corporation (NASDAQ:MSFT). RELX declined by 16%, reducing performance by 1.2%. Microsoft fell by 8.6%, while Experian was down 8%, reducing the portfolio return by 0.7% and 0.8% respectively.
Microsoft saw a pullback in its share price in the December quarter over concerns about the magnitude of its capital expenditure on data centres, which supports its cloud computing and AI services, as well as increasing competition in AI tools from the likes of Google and Anthropic.
While Microsoft’s investment in data centre infrastructure has indeed increased significantly in the last few years, we believe this is supported by strong end customer demand, such that Microsoft will earn an attractive return on this investment. It’s true that competition in the rapidly growing market for AI tools has increased. However, Microsoft is seeing strong growth for its own AI tools and also benefits from growth in demand for alternatives via the computing infrastructure Microsoft provides them.”
Microsoft Corporation (NASDAQ:MSFT) is in second position on our list of 40 Most Popular Stocks Among Hedge Funds. According to our database, 312 hedge fund portfolios held Microsoft Corporation (NASDAQ:MSFT) at the end of the fourth quarter, the same as in the previous quarter. While we acknowledge the risk and potential of Microsoft Corporation (NASDAQ:MSFT) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Microsoft Corporation (NASDAQ:MSFT) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Microsoft Corporation (NASDAQ:MSFT) and shared a list of best software stocks to invest in according to billionaires. In addition, please check out our hedge fund investor letters Q4 2025 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
