Generation Investment Management, an investment management firm, released its “Global Equity Strategy” fourth quarter 2025 investor letter. A copy of the letter is available to download here. In 2025, uncertainty and distortion shaped the market. The letter highlights the need for patient, quality-focused investing. The firm believes its portfolio is well-positioned for future success, as current trends driving underperformance will ultimately lead to better results. The research indicates that sectors in AI will provide long-term value, especially as global computing demands increase—potentially tripling if a third of internet users engage with AI via voice for 20 minutes daily. Currently, the market penalizes strong companies that don’t play the ‘beat and raise’ game. As of December 31, 2025, the Global Equity strategy has total assets under management of USD 21.0 billion. In addition, you can check the portfolio’s top 5 holdings to find out its best picks for 2025.
In its fourth-quarter 2025 investor letter, Generation Investment Global Equity Strategy highlighted stocks like MercadoLibre, Inc. (NASDAQ:MELI). MercadoLibre, Inc. (NASDAQ:MELI) is a leading online commerce platform in Latin America that operates Mercado Libre Marketplace and Mercado Pago FinTech platforms. On March 30, 2026, MercadoLibre, Inc. (NASDAQ:MELI) stock closed at $1,619.20 per share. One-month return of MercadoLibre, Inc. (NASDAQ:MELI) was -5.53%, and its shares lost 15.45% over the past 52 weeks. MercadoLibre, Inc. (NASDAQ:MELI) has a market capitalization of $82.09 billion.
Generation Investment Global Equity Strategy stated the following regarding MercadoLibre, Inc. (NASDAQ:MELI) in its fourth quarter 2025 investor letter:
“Our investment in MercadoLibre (Meli) began more than a decade ago when we thought it could become the core digital infrastructure for Latin America. We believe it is an outstanding business with deep moats. And it is run by a strong management team with a clear sense of purpose.
MercadoLibre was founded in 1999 by Marcos Galperin, who has led it for a quarter of a century. Under him it became Latin America’s most valuable listed company, with a market cap north of USD 100 billion. Galperin stepped down as CEO at the end of 2025, staying on as executive chairman. The new CEO Ariel Szarfsztejn joined in 2017.
MercadoLibre is a Latin American e‑commerce platform, operating in 18 countries with particularly strong positions in Brazil, Argentina and Mexico. Typically, independent merchants list on the platform, and Meli takes a commission. In 2024 Mercado Envios, its logistics solution, handled 1.8 billion shipments, roughly doubling its 2020 figures…” (Click here to read the full text)
MercadoLibre, Inc. (NASDAQ:MELI) is in 37th position on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 113 hedge fund portfolios held MercadoLibre, Inc. (NASDAQ:MELI) at the end of the fourth quarter, up from 109 in the previous quarter. While we acknowledge the risk and potential of MercadoLibre, Inc. (NASDAQ:MELI) 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 MercadoLibre, Inc. (NASDAQ:MELI) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered MercadoLibre, Inc. (NASDAQ:MELI) and shared Polen International Growth Strategy’s views on the company. 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.
