TimesSquare Capital Management, an equity investment management company, released its “U.S. Mid Cap Growth Strategy” first-quarter 2026 investor letter. A copy of the letter can be downloaded here. The Strategy fell 7.72% (net) in the quarter compared to -6.35% for the Russell Midcap Growth Index. In the first quarter, markets navigated geopolitical tensions and economic resilience alongside temporary global tariffs. High oil prices and supply chain disruptions followed U.S. and Israeli involvement in Iran, prompting a shift to safer assets and a reevaluation of supply chains and energy dependencies. Central banks maintained steady policies despite energy-driven inflation. In this environment, the Strategy remains focused on disciplined management teams with durable competitive advantages. Please review the Strategy’s top five holdings to gain insights into their key selections for 2026.
In its first-quarter 2026 investor letter, TimesSquare Capital U.S. Mid Cap Growth Strategy highlighted TPG Inc. (NASDAQ:TPG). TPG Inc. (NASDAQ:TPG) is a US-based alternative asset management company. On June 30, 2026, TPG Inc. (NASDAQ:TPG) closed at $45.58 per share. One-month return of TPG Inc. (NASDAQ:TPG) was -0.20%, and its shares lost 24.45% over the past 52 weeks. TPG Inc. (NASDAQ:TPG) has a market capitalization of $15.58 billion.
TimesSquare Capital U.S. Mid Cap Growth Strategy stated the following regarding TPG Inc. (NASDAQ:TPG) in its Q1 2026 investor letter:
“In the Financials sector, we tend to avoid banks experiencing credit deterioration or rising deposit costs, preferring asset managers, specialized insurance companies, or financial technology providers. Alternative asset manager TPG Inc. (NASDAQ:TPG) retreated by -36%, along with other alternative asset managers, primarily due to a sharp, sector-wide rotation out of the sector, driven by investor fears over software exposure and AI disruption. While no limited partners have stepped back to date, management indicated that fundraising may slow and monetization could be delayed. Of note, TPG announced a long‑term strategic partnership with Jackson Financial, a move that significantly bolsters its insurance‑linked fee income and credit scale. We have scaled back the position size.”
TPG Inc. (NASDAQ:TPG) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 48 hedge fund portfolios held TPG Inc. (NASDAQ:TPG) at the end of the first quarter, up from 29 in the previous quarter. While we acknowledge the risk and potential of TPG Inc. (NASDAQ:TPG) 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 TPG Inc. (NASDAQ:TPG) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered TPG Inc. (NASDAQ:TPG) and shared the list of best IPO stocks to buy in 2026. In addition, please check out our hedge fund investor letters Q1 2026 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.
