L1 Capital International Strategy’s Q4 2025 Investor Letter

L1 Capital, an investment management firm, released its “L1 Capital International Fund” (unhedged) fourth-quarter 2025 investor letter. The Strategy focuses on investing in high-quality companies with favorable cashflow-based valuations. The letter highlighted the current investment environment, the Fund’s positioning, portfolio adjustments, and the quarterly (December) and yearly (2025) review. The firm considers valuation analysis essential for potential AI-focused investments; merely having conviction in AI isn’t enough to ensure a successful investment outcome. In general, 2025 was a strong year for all stock markets globally. The fund returned 2.2%, net of fees, compared to 2.5% for the benchmark (MSCI World Net Total Return Index in AUD). For the year, the fund returned 9.8% (net of fees) compared to 12.4% for the Index. In addition, you can check the Strategy’s top five holdings to know its best picks in 2025.

A copy of L1 Capital International Strategy’s Q4 2025 investor letter can be downloaded here.