Vltava Fund’s Q3 2025 Investor Letter

Vltava Fund, an investment management company, recently released its third-quarter 2025 investor letter. The letter is addressed “Value Traps and Growth Traps,” based on the firm’s three new investments from the last quarter. While value and growth stocks seem like clear categories, the author believes they are interconnected rather than opposites. A value trap occurs when investors buy seemingly cheap stocks with underlying structural issues, resulting in stagnation or a decline in share price. However, a growth trap arises when investors purchase shares of rapidly growing companies with high valuations that unexpectedly slow down, leading to reduced projections and declining valuation multiples. Basically, both value and growth are two sides of a coin, and the investor should combine a reasonable price with a realistic outlook. In addition, please check the fund’s top five holdings to know its best picks in 2025.

A copy of Vltava Fund’s Q3 2025 investor letter can be downloaded here.