Third Avenue Management, an investment management firm based in New York City, released its “Third Avenue Real Estate Value Fund” fourth quarter 2025 investor letter. A copy of the letter can be downloaded here. The Third Avenue Real Estate Value Fund posted a return of +11.61% (after fees) in the calendar year, compared to a return of +9.86% (before fees) for the MSCI ACWI IMI Home Real Estate Index. Since its inception in 1998, the fund has generated an annualized return of +8.96% (after fees). This year marks the 40th anniversary of Third Way Management, highlighting its core principles and its adaptability in the pursuit of long-term wealth creation for its clients. The fund invests 40.3% of its capital in US-based companies, 27.5% in North American-based companies, 27.6% in international real estate companies, and the remaining 4.6% in cash, debt and options. The fund predicts that the next five years could be similar to the early 2000s, a time characterized by attractive valuations in US-listed real estate. Please review the portfolio’s top five properties to gain insight into their key choices for 2025.
In a letter to investors in Q4 2025, Third Avenue Real Estate Value Fund highlighted Fidelity National Financial Inc. (NYSE:FNF). Fidelity National Financial Inc. (NYSE:FNF) is a leading U.S. provider of insurance products to the real estate and mortgage sectors. On March 06, 2026, Fidelity National Financial Inc. (NYSE:FNF) stock closed at $50.08 per share. Fidelity National Financial Inc. (NYSE:FNF)’s one-month return was -11.00%, and its shares lost 18.66% over the past 52 weeks. Fidelity National Financial Inc. (NYSE:FNF) has a market capitalization of $13.589 billion.
Third Avenue Real Estate Value Fund made the following comments about Fidelity National Financial, Inc. (NYSE:FNF) in its fourth quarter 2025 investor letter:
“Incidentally, the last quarter was the most active period of resource turnover for holding real estate value funds in many years. In fact, more than a third of the core portfolio engaged in (or announced) such initiatives during the period, some of the most notable including: Fidelity National Financial, Inc. (NYSE:FNF), the largest provider of title insurance for residential and commercial properties in the United States, is distributing approximately $500 million in shares to its life insurance affiliate F&G Annuity & Life (“F&G”). The transaction will enhance the public float of the separately listed entity, with the objective of (i) improving F&G’s cost of capital relative to other market comparators in this line of insurance (i.e. leveraged multiple) and (ii) improving the “sum of the parts” value for Fidelity National when factoring in its other specialized title insurance and trading businesses.
