Here’s Why Accelerant Holdings (ARX) Declined in Q3

Core Insights - Prosper Stars & Stripes achieved a net return of +9.8% in Q3 2025, outperforming its peer group which returned +3.8% and the Russell 2000 Index which returned +12.4% [1] - Year-to-date, the fund returned +8.6%, compared to +13.6% for the HFRI and +10.4% for the Russell [1] - The fund's long book performed well, while the short book negatively impacted overall performance [1] Company Focus: Accelerant Holdings (NYSE:ARX) - Accelerant Holdings is a data-driven risk exchange connecting specialty insurance underwriters with risk capital partners [2][3] - The stock had a one-month return of 28.55% but lost 32.36% over the last three months, closing at $14.59 with a market cap of $3.236 billion on November 27, 2025 [2] - It was the largest detractor in the long book for Prosper Stars & Stripes in Q3 2025, with concerns raised about growth contributions from a related party [3] - Accelerant operates a specialty insurance marketplace and provides operational support to Managing General Agents (MGAs) [3] - The company is viewed as having growth opportunities due to its recent IPO and business model, but faced scrutiny over its initial public performance [3]