The London firm, an investment management firm, has issued an investor letter on its “Income Equity Strategy” for the fourth quarter of 2025. A copy of the letter can be obtained Downloaded here. The fund’s income equity portfolio declined 1.4% gross (-1.6% net) in the fourth quarter of 2025, underperforming the Russell 1000 Value Index, which gained 3.8%, as stock selection weighed on relative performance despite supportive sectors. U.S. equities extended their rally, with the Russell 3000 index rising 2.4% and the S&P 500 posting similar gains, supported by strong earnings growth, the Federal Reserve’s rate cut, and easing trade tensions, while markets suffered headwinds from softening labor markets, AI investments and government shutdowns. For the full year, the portfolio delivered +14.4% gross (+13.5% net) versus +15.9% for the benchmark, finishing in line with its long-term upside targets despite a challenging backdrop for quality, yield, and low volatility factors. Management noted that value factors drove returns during the quarter, while the portfolio’s lack of direct bank exposure and exposure to quality and yield-oriented stocks acted as a tipping point in a market environment that favored high-beta and more cyclically sensitive segments. In addition, please see the top five retention strategy to identify its best options in 2025.
In its fourth-quarter 2025 investor letter, the London-based firm’s income equity strategy highlighted stocks like Cisco Systems (NASDAQ: CSCO ). Cisco Systems, Inc. (NASDAQ: CSCO) is a networking technology company that provides hardware, software, and cybersecurity solutions that enable global Internet and enterprise connectivity. Cisco Systems, Inc. (NASDAQ: CSCO )’s one-month return was 4.13% while its shares traded between $52.11 and $88.19 over the past 52 weeks. On March 11, 2026, Cisco Systems, Inc. (NASDAQ: CSCO ) stock closed at about $78.10 per share, with a market capitalization of about $309.00 billion.
London firm Income Equity Strategy said the following about Cisco Systems Inc. (NASDAQ: CSCO ) in its Q4 2025 investor letter:
Cisco Systems (NASDAQ: CSCO ) – CSCO was a top performer this quarter after beating and upgrading, driven by strong network growth and accelerating AI speeds. The strength in the core network outweighs the near-term weakness in security, which is transitioning to a more recurring revenue model. The initial signs of the campus refresh period were also positive. We think the company’s leadership position in the network, product breadth, and balance sheet flexibility will continue to grow and increase shareholder value over time.
