Group 1 - Baron Asset Fund reported a decline of 4.23% in the third quarter of 2025, underperforming the Russell Midcap Growth Index which returned 2.78% and the Russell 3000 Index which returned 8.18% [1] - The primary driver of the market rally in the third quarter was the expectation of the Federal Reserve cutting interest rates [1] Group 2 - Loar Holdings Inc. (NYSE:LOAR) is highlighted as a stock of interest, with a one-month return of -6.58% and a 52-week loss of 16.53% [2] - As of November 7, 2025, Loar Holdings Inc. closed at $74.55 per share, with a market capitalization of $6.98 billion [2] - Baron Asset Fund initiated a position in Loar Holdings Inc., noting that it has an 85% proprietary product portfolio and over 50% of its revenues from aftermarket replacement sales [3] - The aftermarket replacement sales are considered a strong market segment in the aerospace and defense industry, drawing parallels to the success of TransDigm [3]