Sands Capital Management, LLC‘s Technology Innovators Fund released its Q4 2025 investor letter for “Technology Innovators Fund”. A copy of the letter can be downloaded here. The Fund delivered mixed performance during the fourth quarter of 2025, as market returns were increasingly driven by a narrow group of large-cap growth stocks, with the portfolio’s top ten holdings accounting for roughly 59% of assets, while several high-valuation innovation names faced pressure from slowing momentum and investor risk aversion. The fund’s results reflected stock-specific challenges rather than broad macroeconomic shocks, with weaker performance in certain emerging technology holdings offset by strength in select platform and infrastructure businesses. During the quarter, the portfolio declined 6.3% on a quarter-to-date basis, and the fund generated a 14.7% return over the one year, reflecting stock-specific challenges rather than broad macroeconomic shocks, with weaker performance in certain emerging technology holdings offset by strength in select platform and infrastructure businesses. Management emphasized its long-term investment horizon, noting an average annual portfolio turnover of 21%, and stated that many portfolio companies continued to generate solid full-year earnings growth in 2025, supported by durable revenue models tied to artificial intelligence, cloud computing, and digital transformation, even as enthusiasm for speculative growth faded late in the quarter. In addition, please check the Fund’s top five holdings to know its best picks in 2025.
In its fourth-quarter 2025 investor letter, Sands Capital Technology Innovators Fund highlighted stocks like Nu Holdings Ltd. (NYSE:NU). Nu Holdings Ltd. (NYSE:NU) is a Latin American digital banking group expanding rapidly by offering mobile-first financial services to millions of customers. The one-month return of Nu Holdings Ltd. (NYSE:NU) was 1.33% while its shares traded between $9.01 and $18.98 over the last 52 weeks. On February 13, 2026, Nu Holdings Ltd. (NYSE:NU) stock closed at approximately $16.82 per share, with a market capitalization of about $81.50 billion.
Sands Capital Technology Innovators Fund stated the following regarding Nu Holdings Ltd. (NYSE:NU) in its Q4 2025 investor letter:
“Nu Holdings Ltd. (NYSE:NU) operates Nubank, a digital financial services platform that serves over 127 million customers in Latin America. Shares advanced following the release of third quarter results. Earnings increased 41 percent year-over-year, exceeding consensus expectations. The business reached record profitability, driven by a combination of rising profitability per user and falling costs per user in its core market, Brazil. Credit metrics remain healthy, with faster loan growth and lower credit losses. Meanwhile, Nu Holdings continues to gain adoption in Colombia and Mexico—markets that are earlier in the financial inclusion curve and offer a longer runway for penetration. As it deepens engagement in Brazil and expands in underpenetrated markets, we believe Nu’s scalable platform, low-cost structure, and trusted brand will continue to support rapid growth and strong unit economics.”
Nu Holdings Ltd. (NYSE:NU) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 99 hedge fund portfolios held Nu Holdings Ltd. (NYSE:NU) at the end of the third quarter, which was 97 in the previous quarter. While we acknowledge the risk and potential of Nu Holdings Ltd. (NYSE:NU) 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 Nu Holdings Ltd. (NYSE:NU) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Nu Holdings Ltd. (NYSE:NU) and shared the list of high-growth international stocks to buy now. 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.
