Fiduciary Management, Inc.’s Q1 2026 Investor Letter

Fiduciary Management Inc. (FMI), an independent money management firm, released its first-quarter 2026 investor letter. The onset of the Iran war disrupted the stability of Global stock markets in early 2026, with the S&P 500 and MSCI World indices declining 4.33% and 3.57%, respectively, while the Russell 2000 and MSCI EAFE (local, USD) fared a bit better at 0.89%, 0.15%, and -1.24%, respectively. As oil costs rise and the war continues, risk appetites have decreased. Amid this uncertainty, FMI remains confident in its portfolio of high-quality businesses trading at discounts. Energy and defense stocks have recently outperformed, while FMI’s underweight exposure in these sectors and overweight in durables and construction have impacted relative performance. Despite challenges, FMI is committed to its long-standing investment strategy. In addition, please check the firm’s top five holdings to know its best picks in 2026.

A copy of Fiduciary Management, Inc.’s Q1 2026 investor letter can be downloaded here.