Montaka Global Investments, an investment management company, released its fourth-quarter 2025 investor letter. A copy of the letter can be downloaded here. Montaka’s December 2025 investor letter explains that while global equity markets performed strongly in 2025, driven largely by artificial intelligence (AI) and a small number of high-performing technology stocks, the fund did not outperform during the year due to significant dispersion in stock returns across its portfolio. Some holdings generated strong gains, while others declined due to short-term factors such as concerns about AI disruption, weakness in housing-related sectors, and negative sentiment toward alternative assets and enterprise software. The letter argues that these declines are likely temporary and that many of these businesses remain fundamentally strong but currently undervalued. Looking ahead, the fund maintains a positive market outlook, believing that long-term opportunities remain strong as AI adoption accelerates, driving major investments in data centres, semiconductors, energy infrastructure, and critical commodities like lithium. The managers also note that rising geopolitical competition, resource scarcity, and technological disruption are reshaping the global economy, but they believe their strategy of investing in high-quality companies benefiting from long-term structural trends will continue to deliver strong returns over time. Consequently, the portfolio has been adjusted by adding to undervalued positions, trimming holdings that rallied strongly, and initiating a new investment in a lithium producer to benefit from expected future supply shortages linked to renewable energy and battery demand. In addition, you can check the Strategy’s top 5 holdings to determine its best picks for 2025.
In its fourth-quarter 2025 investor letter, Montaka Global Investments highlighted stocks like KKR & Co. Inc. (NYSE:KKR). KKR & Co. Inc. (NYSE:KKR) is a global investment firm managing assets across private equity, infrastructure, real estate, and credit markets. The one-month return of KKR & Co. Inc. (NYSE:KKR) was -5.92% while its shares traded between $82.67 and $153.87 over the last 52 weeks. On March 24, 2026, KKR & Co. Inc. (NYSE:KKR) stock closed at approximately $90.84 per share, with a market capitalization of about $90.91 billion.
Montaka Global Investments stated the following regarding KKR & Co. Inc. (NYSE:KKR) in its Q4 2025 investor letter:
The world’s leading alternative asset managers, such as KKR & Co. Inc. (NYSE:KKR), also declined in 2025 – likely driven by a myriad of negative headlines around private credit. In November, KKR CEO, Scott Nuttall, remarked that “the noise is bad, and the facts are good1 ”. We agree and assess that many investors are underappreciating the cyclical upswing potential for alternative assets. M&A is starting to come back strongly, and asset realisations will follow, which will drive further growth in asset recycling and capital raising. Meanwhile, depressed asset classes – like commercial real estate – have started to recover; and we remain in the infancy of substantial growth in the private wealth channel for alternative assets distribution. We assess that the future looks bright for these businesses.
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KKR & Co. Inc. (NYSE:KKR) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. As per our database, 76 hedge fund portfolios held KKR & Co. Inc. (NYSE:KKR) at the end of the fourth quarter, which was 89 in the previous quarter. While we acknowledge the risk and potential of KKR & Co. Inc. (NYSE:KKR) 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 KKR & Co. Inc. (NYSE:KKR) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered KKR & Co. Inc. (NYSE:KKR) and shared the list of best rebound stocks to buy right 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.
