Riverwater Partners Small Cap Strategy’s Q3 2025 Investor Letter

Riverwater Partners, an investment management company, released its “Small Cap Strategy” Q3 2025 investor letter. The Small Cap Strategy reported solid results for the quarter but did not keep pace with the sharp rally, thus lagging the benchmark. The market’s preference for lower-quality companies persisted in the quarter and contributed significantly to the benchmark’s outperformance. On the other hand, the strategy remains focused on higher-quality companies with enduring fundamentals, consistent revenue, and a transparent path to profitability. The firm strongly believes that...