Year-End 2025 – Sequoia Fund Letter

Citations · 6

• “They outperformed the remaining 493 stocks in the S&P 500 Index by approximately ten percentage points in 2025, whereas they outperformed by approximately 34 percentage points and 65 percentage points, respectively, in 2024 and 2023”

  p#1 · confidence 95%

• “At year-end 2025, this group of companies accounted for approximately 34.4% of the S&P 500. For the second year in a row, we can accurately state that the market has never been – not at the peak of dot-com bubble, not during the heyday of the Nifty Fifty, not even in the final days of the Roaring Twenties – this concentrated”

  p#1 · confidence 95%

• “Sequoia Fund returned 22.13% in 2025, versus 17.88% for the S&P 500”

  p#1 · confidence 95%

• “From a local peak on February 19th to an intra-year low on April 8th, the S&P 500 drew down by approximately 18.7% on tariff-related fears. Over this same period, the Fund declined by 11.0%”

  p#1 · confidence 95%

• “At year-end, the portfolio was comprised of 24 investments. As usual, the Fund's top ten holdings account for the majority of the portfolio, totaling 64.2% at year-end”

  p#1 · confidence 95%

• “we held firm and in fact added to our position, when Rolls-Royce's business ground to a halt during the pandemic and its share price cratered by over 80%. Over the course of 2025, the business continued to make forward progress, in fact more than we had expected. By the time the fourth quarter rolled around, the shares were up over 100% for the year. At that point, we trimmed the position modestly”

  p#1 · confidence 95%