Alpine Saxon Woods Leading Edge Strategy
Overview
The Leading Edge Strategy is designed to help clients achieve long-term capital appreciation by targeting small capitalization companies with long runways for growth. The focus is on identifying businesses that hold a leading share in their respective industries, possess sustainable competitive advantages, and/or are developing disruptive technologies that could reshape their markets. Additionally, the strategy prioritizes companies with a positive inflection in their outlook for revenue and earnings growth that the market underappreciates.
Investment Objectives
The strategy focuses on companies below the $10B market capitalization range and invests in those that are poised to grow into larger enterprises over time. Through deep research on industry growth themes, analysis of supply-chains, durability of competitive advantages, and financial market expectations, we seek to identify franchises that are at the intersection of a) strong moat-like positions, b) best suited to capture growth opportunities and c) where valuations/financial projections underappreciate the potential. The result is a portfolio of the most exciting small capitalization companies situated to benefit from the highest growth thematics in the business world today.
Portfolio Construction
Our portfolio strategy emphasizes disciplined risk management by maximizing risk budgets to security selection (where our strengths lie as fundamental investors) and away from factor bets. As a result, we cap sector and style risk budgets in the strategy, while fundamental bets on companies and industries make up >85% of our total active risk budget. Although we are high active share investors with >90% active share, we manage the higher volatility of the small cap asset class by investing in a portfolio of 50-70 holdings. We invest in stocks with sufficient liquidity to ensure ease of trading and efficient execution.
Quick Facts
As of
September 30, 2026
Fund
SMA Inception Date
1/1/2019
Benchmark 1
Russell 2500 Index™
Benchmark 2
iShares Russell 2000 Growth ETF (IWO)
Strategy AUM
$38.23M
Investment Minimum
Negotiable
Fees
Negotiable
Meet the Team
Brian Hennessey, CFA
- 27 years industry experience
- BA: Williams College
- MBA: M.I.T.
Mark T. Spellman
- 32 years industry experience
- BS: Boston College
- MBA: UMass Amherst
Sarah Hunt, CFA, CFP®
- 26 years industry experience
- BA: Wesleyan University
- MBA: Fordham University
Ronak Jain, CFA
- 17 years industry experience
- BBA: Macaulay Honor College at Baruch College
Characteristics
As of
September 30, 2026
Strategy
Benchmark 1
Number of Holdings
57
2501
Avg Weighted Market Cap ($B)
$
8.32
B
$
8.82
B
TTM Dividend Yield
1.19
%
2.67
%
P/E 1-Year Forward
45.81
28.25
Free Cash Flow Yield
1.64
%
3.03
%
Total Debt/EBITDA
0.37
1.28
Est Sales Growth (2yr)
32.76
28.36
Annual Turnover
158.66
–
Please see the Glossary for descriptions of these terms.
Sector Analysis
As of
September 30, 2026
Strategy
Benchmark 1
Healthcare
31.3
%
16.0
%
Technology
22.0
%
15.6
%
Industrials
15.6
%
18.5
%
Financials
7.9
%
15.3
%
Consumer Discretionary
7.4
%
9.8
%
Energy
5.6
%
4.7
%
Consumer Staples
5.1
%
3.5
%
Materials
2.7
%
4.6
%
Communications
2.4
%
2.7
%
Real Estate
0.0
%
7.0
%
Utilities
0.0
%
2.3
%
Top 10 Holdings
As of
September 30, 2026
Fund
REPLIGEN CORP
3.3
%
RUBRIK INC-A
3.3
%
LIFESTANCE HEALTH GROUP INC
2.9
%
GUARDIAN PHRMCY SERVICES-A
2.9
%
COGNEX CORP
2.9
%
JFROG LTD
2.9
%
HALOZYME THERAPEUTICS INC
2.8
%
SILICON MOTION TECHNOLGIES-ADR
2.7
%
PRECIGEN INC
2.6
%
SEMTECH CORP
2.6
%
TOTAL
28.9
%
Risk/Returns Metrics
As of
September 30, 2026
Strategy
Benchmark 1
Alpha
-2.50
%
–
Beta
0.75
1.00
Sharpe Ratio
0.03
0.28
Standard Deviation
16.48
%
19.42
%
Up/Down Capture
64/77
–
Risk/Return Metrics based on rolling 5-year period measured quarterly. Past performance is no guarantee of future results. Investing involves risks, including the possible loss of
principal.
Please see the Glossary for descriptions of these terms.
Average Annual Total Return
As of
September 30, 2026
As of
September 30, 2026
YTD
1 Year
3 Year
5 Year
Since Inception
Gross
11.47
%
5.10
%
15.81
%
3.92
%
11.91
%
Net (Composite)
10.60
%
4.11
%
14.74
%
2.97
%
10.89
%
Benchmark 1
14.97
%
17.51
%
17.73
%
7.45
%
12.54
%
Benchmark 2
10.78
%
12.06
%
17.50
%
4.67
%
10.91
%
YTD
1 Year
3 Year
5 Year
Since Inception
Gross
11.47
%
5.10
%
15.81
%
3.92
%
11.91
%
Net (Composite)
10.60
%
4.11
%
14.74
%
2.97
%
10.89
%
Benchmark 1
14.97
%
17.51
%
17.73
%
7.45
%
12.54
%
Benchmark 2
10.78
%
12.06
%
17.50
%
4.67
%
10.91
%
Past performance is no guarantee of future results. Investing involves risks, including the possible loss of the principal amount invested. The use of Alpine Saxon Woods does not eliminate risks associated with investing. Consider the investment objectives, risks, charges, and expenses carefully before investing. The information presented has been obtained from sources believed to be reliable, but its accuracy and completeness are not guaranteed. Opinions, estimates and projections constitute the judgment of Alpine Saxon Woods and are subject to change without notice. This material is presented for informational purposes only and is not an offer, recommendation or solicitation regarding any financial product or service or as a determination that any investment strategy is suitable for a specific investor. Investors should seek financial advice regarding the suitability of any investment strategy based on the investor’s objectives, financial situation and particular needs. The investments or investment strategies discussed may not be suitable for every investor. There is no assurance that any investment strategy will be successful. Some investment products may be available only to certain “qualified investors” — that is, investors who meet certain income and/or investable assets thresholds.
Performance is presented both gross and net of composite fees. The highest fee applicable for a separate account managed directly by Alpine Saxon Woods is 1.0% annually. (Strategies accessed through third-party wrap programs will pay fees as high as 3%.) Gross-of-fee returns reflect the impact of transaction costs but not the deduction of advisory fees. Net-of-fee (Net) returns reflect the deduction of all transaction costs and advisory fees to accounts in the composite. Actual fees and account minimums may vary. Indices, including index ETFs, are provided solely for illustrative purposes. Indices are not available for direct investment, and do not reflect the deduction of fees and trading costs, which would reduce returns. ETFs are similarly provided to illustrate particular industries or industry groups and are not recommendations for investment. ETF fees and expenses are lower (typically 0.10%-0.35%) than is typical for a managed account, which can exceed 1%.
The positions provided represent holdings as of the date shown and are subject to change without notice. Reported positions do not include all securities that were purchased, sold or held in client accounts over time. It should not be assumed that the holdings described are or will be profitable or that securities purchased in the future will be profitable or will equal the performance of the securities in this list. References to specific securities do not represent a recommendation to purchase or sell any particular security outside a managed account.
The Quarter's Top Contributors
As of
September 30, 2026
Rubrik (RBRK) was the portfolio’s top contributor for the quarter, as the smaller, faster-growing data-security and cyber-resilience platform we rotated into after exiting CrowdStrike last quarter continued to gain share, a decision that has begun to pay off. Halozyme Therapeutics (HALO) also contributed meaningfully, as continued pharma-partner adoption of its subcutaneous drug-delivery technology drove royalty growth. Repligen (RGEN) benefited from a rebound in biopharma capital spending and renewed order momentum across its bioprocessing instruments and consumables. Paysign (PAYS) advanced on strong volume growth in its patient-affordability and pharma co-pay card business. Finally, HeartFlow (HTFL) contributed as adoption of its non-invasive, AI-enabled coronary artery disease diagnostic continued to expand among cardiology practices.
The Quarter's Top Detractors
As of
September 30, 2026
Nova Ltd (NVMI) was the largest detractor for the quarter, as the Israel-based semiconductor metrology and process-control company was caught up in the broader profit-taking across the semiconductor group following the historic AI-driven rally of the first half, even as underlying demand for AI infrastructure remained robust. Legence Corp (LGN) also detracted, giving back a portion of its post-IPO gains amid a broader de-rating of recently public, higher-multiple names. Mama’s Creations (MAMA) pulled back after an extended run, as investors rotated away from consumer names on macro concerns and specifically MAMA’s recent equity issuance. Privia Health Group (PRVA) detracted amid a broader pullback in healthcare-services names tied to reimbursement-rate uncertainty. NextPower (NXT) rounded out the top five detractors as softening sentiment toward power- and grid-infrastructure names, amid higher financing costs, weighed on project economics across the group.
The information contained on this website is the property of Alpine Saxon Woods LLC (“ASW”) and is being provided for information purposes only. This website and the information contained herein is not an offer to sell or the solicitation of an offer to buy any securities or instruments, or a recommendation, representation of suitability or endorsement of any security or investment. Since ASW cannot anticipate all the requisites of each individual viewer, there is no consideration given for the specific investment needs, objectives or risk tolerance of any viewer. ASW’s services are primarily provided through separately managed accounts. Some ASW investment products may be available only to certain “qualified investors”—that is, investors who meet certain income and/or investable assets thresholds – and are offered only pursuant to confidential offering documents. Before making any investment decision, individuals should consult their own advisors, including legal and tax advisors.