Virtus Zevenbergen Technology Fund Q4 2025 Commentary

March 29, 2026 - 23:40

The Virtus Zevenbergen Technology Fund reported a return of 2.32% for its institutional shares in the final quarter of the year, a period marked by significant market divergence. This performance modestly trailed the 3.39% gain of its benchmark, the S&P North American Technology Sector Index.

Portfolio managers attributed the relative performance to their concentrated, high-conviction approach focused on identifying companies with long-term, exponential growth potential. During the quarter, the fund maintained its strategy of investing in businesses believed to be at the forefront of innovation, particularly within areas like artificial intelligence, cloud computing, and digital consumer platforms.

The period saw heightened volatility across equity markets, with investor sentiment shifting rapidly in response to macroeconomic data and interest rate expectations. Within this environment, the fund's managers emphasized rigorous fundamental analysis, seeking companies with durable competitive advantages and strong balance sheets capable of navigating uncertain economic cycles.

Looking ahead, the investment team remains focused on secular growth trends that are reshaping the global economy. They express confidence that their disciplined approach to selecting industry leaders and emerging innovators will continue to drive value for shareholders over a multi-year horizon, despite short-term fluctuations in relative performance. The fund's strategy underscores a commitment to capitalizing on technological disruption beyond mere benchmark tracking.