Market Overview - U.S. equity markets reached new all-time highs in Q4 2025, with the S&P 500 Index rising 2.66% and the Bloomberg U.S. Aggregate Bond Index increasing by 1.10% [1] - The U.S. economy showed resilience, although consumer confidence deteriorated toward year-end, raising concerns about future spending and the labor market [1] Fund Performance - The Aristotle Growth Equity Fund (Class I-2) returned 0.95%, underperforming the Russell 1000 Growth Index's 1.12% [1] - Poor security selection in the information technology and consumer discretionary sectors detracted from performance, while positive contributions from healthcare and industrials improved relative performance [1] Company Highlight: Guardant Health, Inc. - Guardant Health, Inc. (NASDAQ:GH) was highlighted as a leading contributor to the fund's performance, driven by better-than-expected third-quarter earnings results and an acquisition of a competitor [2][3] - As of February 25, 2026, Guardant Health, Inc. stock closed at $95.27 per share, with a one-month return of -13.77% and a twelve-month gain of 126.24% [2] - The company reported approximately $281 million in revenue for Q4 2025, marking a 39% year-over-year growth [5] Hedge Fund Interest - Guardant Health, Inc. was held by 62 hedge fund portfolios at the end of Q4 2025, an increase from 50 in the previous quarter [5] - Despite its potential, the company is not listed among the 30 Most Popular Stocks Among Hedge Funds, with some analysts suggesting that certain AI stocks may offer greater upside potential and less downside risk [5]

Core Insights - Guardant Health aims to provide individuals with more time free from disease, having pioneered the first liquid biopsy test for cancer therapy selection over 10 years ago [2] - The company has tested over 1 million patients and has received orders from over 12,000 oncologists and thousands of primary care physicians [2] - Guardant Health has invested approximately $2 billion in R&D to develop innovative products and establish itself as a leader in the liquid biopsy market [3] Company Overview - Guardant Health has expanded its offerings to include recurrence monitoring and cancer screening, demonstrating its commitment to helping more patients [2] - The company has built a world-class commercial organization, indicating strong operational capabilities and market presence [3] - Guardant Health believes it is still in the early stages of its growth and innovation journey [3]

Core Insights - The healthcare sector has outperformed all other sectors, including technology, since the beginning of September, with the State Street Health Care Select Sector SPDR ETF (XLV) rising by 13% during this period [2][5] - The Tema Oncology ETF (CANC) has experienced a significant increase of 28% since September and is up 41% year-to-date [2][5] Company Highlights - Revolution Medicines (RVMD) is the top holding in the Tema Oncology ETF, with a remarkable gain of 127% since August 11, attributed to its strong management and potential breakthrough in pancreatic cancer therapy [3][4] - Roche Holdings (RHHBY) is noted for its portfolio of cancer immunology drugs, trading at an attractive PE ratio of 15, and has a significant pipeline that could enhance its valuation, especially following a positive readout in a breast cancer trial [4][6] - Guardant Health (GH) specializes in diagnostics, particularly a liquid biopsy test for early cancer detection, which is particularly relevant for colorectal cancer, the fastest-growing cancer among young people in the US [6][7]