Group 1: Fund Performance - Baron FinTech Fund experienced a decline of 4.29% in Q3 2025, compared to a 1.90% decline in the FactSet Global FinTech Index [1] - Since inception, the fund has achieved an annualized return of 11.10%, outperforming the benchmark's 4.00% return [1] - Market strength in the quarter was driven by the resumption of Federal Reserve rate cuts and optimism surrounding AI [1] Group 2: Morningstar, Inc. Overview - Morningstar, Inc. (NASDAQ:MORN) is a leading investment research services provider with a market capitalization of $8.801 billion [2] - As of November 15, 2025, Morningstar's stock closed at $211.95 per share, with a one-month return of -2.86% and a 52-week decline of 36.61% [2] Group 3: Morningstar, Inc. Analysis - The decline in Morningstar's shares is attributed to a broad pullback in information services stocks due to concerns over generative AI and a market rotation away from high-quality companies [3] - Despite a modest slowdown in PitchBook, Morningstar's private markets data platform, which still grew revenue by 10% in the recent quarter, concerns regarding AI are viewed as overblown [3] - The company is expected to see faster revenue growth and margin expansion over time, maintaining the value of its investment data and proprietary insights [3] Group 4: Hedge Fund Interest - Morningstar, Inc. was held by 44 hedge fund portfolios at the end of Q2 2025, an increase from 41 in the previous quarter [4] - While Morningstar is recognized for its investment potential, certain AI stocks are considered to offer greater upside potential and less downside risk [4]