2025 Performance Recap: +66% since July
Continued Outperformance in December & Inside the Winning Ideas
The Aurelion Index closed 2025 up 65.61% since its inception in July 2025.
December 2025 performance was +3.47%, outperforming by 213 bps the MSCI World Small Cap Index.
Below is a review of the year, highlighting key stocks from 2025, the drivers of our performance, our investment philosophy, and how the Index is positioned for 2026.
About the Aurelion Index
The Index measures the performance of each of our Buy-Rated companies. It is equally weighted. This means that with 13 Buy-Rated companies, each position would carry a portfolio weight of 7.7%. Companies are removed from the Index upon announcement of change in rating.
We believe the Index provides a fully transparent and accountable view of our stock selection.
We provide both real-time access to the Buy-Rated companies in the Index and complete, in-depth research coverage to our paid subscribers.
This is not financial advice in any way. Please conduct your own research.
2025 Performance Review
Since the launch on July 1st, 2025, the Index significantly outperformed major benchmarks in practically every month. The 2025 performance is company specific, as most of our picks delivered significant returns as our investment theses played out. Because we select what we believe to be the most compelling opportunities in any industry, the Index is invested across multiple industries. As a result, performance was driven by stock selection rather than exposure to a specific industry trend.
We believe the 2025 performance can be attributed to our research process. We evaluate multiple opportunities each week but focus only on the most compelling ones. We then seek to understand each company inside and out through management meetings, on site visits, and additional alternative research. Only those that meet our conviction thresholds earn a place in the Aurelion Index. We believe a source of differentiation is our analytical selection process. We are not afraid to not include a stock in the Index even after spending significant time researching it (which seems obvious, but many funds end up doing it!). We avoid falling in love with any single idea.
Highlights of 2025
1. “The Tanker Trade”: +40% since first report
In April 2025, the market expected tankers to exit their bull cycle, with many believing it was the end of the run. We disagreed and went against the crowd. The decline in tanker equities did not make sense to us. Even as spot rates were trending lower, the supply dynamics, including a lack of newbuilds and an aging fleet, remained supportive. In addition, the ability to sell older tankers at attractive prices was a key part of the thesis. The team met with management teams across the shipping space, including DHT and NAT, to gain qualitative insight into market trends. We believed sentiment would improve and that better days were ahead for the sector, which proved to be the case. We remain bullish today. With elevated spot rates, our holdings are generating strong cash flows from their oil transportation activities, as well as substantial gains from the sale of older vessels.
2. Koryx Copper (CVE: KRY): +55% after initiation in the Index
We called for copper to continue its advance into late 2025 and expressed that view through Koryx Copper, based on improving supply demand dynamics and project level leverage to higher prices.
We remain bullish on the stock as the thesis continues to play out.
3. Guru Organic Energy (TSE: GURU): +168% from 1ˢᵗ report to exit
Our main thesis was that, unlike the “expert” analysts covering the stock, we forecasted an earlier than expected return to profitability for the energy drink business, and we were right. In addition to fundamental analysis, we conducted extensive on the ground research.
We observed strong product visibility across universities, convenience stores, and public transit locations, with consistent shelf placement and frequent sell outs of new flavors, often requiring rapid restocking. Notably, this traction in customer adoption was achieved with minimal large scale marketing spend, reinforcing our view that brand awareness had already been established.
Our conviction was further reinforced through meetings with the CEO and detailed analysis of the business model, supplier contracts, and industry wide product testing. We believe we were among the first equity research to present a clear positive stance on the company. We had strong conviction that the company and its CEO were done overspending on marketing to build awareness, and that Guru had successfully established a strong brand and image. This, in our view, would ultimately drive higher sales and profitability.
We correctly anticipated the shift in market sentiment and were proven right. We were also encouraged by the end of the Pepsi distribution agreement, which had been unfavorable to Guru and had pressured margins.
4. Gold trade expressed through Galiano Gold (TSE: GAU): +90% since report
We identified a cash rich African gold producer that had reset its operations and was positioned for growth, with meaningful operating leverage to a strong gold price environment. That view aligned with our bullish stance on gold and resulted in a 100% return over two months.
5. Bruker (NASDAQ: BRKR): +32% in 2 months since inception in the Index
Bruker is a great example that fits our investment philosophy, with a durable moat in the life sciences tools cycle. In early 2025, the company faced several issues that we believe were short term. After meeting with management multiple times, we initiated coverage as we believe Bruker offers the most compelling setup in life sciences. Following evaluation of recent acquisitions, we believe the market currently underestimates the margin expansion as we move past integration and into the post-genomics era. Q3 2025 confirmed our thesis which improved market sentiment.
We have multiple other very compelling opportunities for 2026. If you are not already, become a paid subscriber to gain access.
December 2025 Performance
December performance of the Aurelion Index was 3.47%. While the market was calmer and did not have a significant “Santa Rally” our picks managed to outperform by 213 bps the benchmark.
Koryx Copper was a clear outlier, rising 50% during the month. Copper prices moved in line with our expectations, and Koryx, one of the more overlooked names in the space, benefited from the strength in the underlying commodity.
In December 2025, U.S. equities consolidated, with the S&P 500 flat, the Nasdaq slightly lower, and the Dow modestly higher. Markets reacted to a 25 basis point Fed rate cut paired with more hawkish 2026 guidance, while the typical year end rally failed to materialize. Technology saw profit taking, while Healthcare and international markets outperformed amid defensive rotation and a weaker U.S. dollar.
Benchmark Selection Discussion
We believe the closest benchmark to the Aurelion Index to be the MSCI World Small Cap Index. This is a change to the prior benchmarks we have shown in the past which were the S&P 500 and the Russel 2000. Changing benchmark is not best practice (and sometime a way to artificially boost alpha) but we believe the MSCI World Small Cap Index to be a much better benchmark as we focus only on smaller companies, and global companies.
Changing to this benchmark actually lowers our alpha for December 2025, but we prefer to maintain professionalism and have accurate benchmark that reflect the position of the Index.
Portfolio Context
As of January 6th, the Aurelion Index includes 11 equally weighted holdings across shipping, mining, life-science, defense, chemicals, financials, and tech.
Our 4 Investment Philosophy Pillars
1. Qualitative Information Advantage: In the small-cap universe, reported figures often fail to capture the full fundamental picture. Aurelion Research supplements quantitative analysis with primary research, including direct management meetings, site visits, and industry engagement, to identify operational inflection points and emerging catalysts not yet reflected in market pricing.
2. Importance of Cash Generation: While the broader market often relies on cash flow proxies to enable rapid comparisons, Aurelion focuses on actual cash generation. We use a systematic process to analyze underlying free cash flow sustainability and returns on invested capital, prioritizing economic substance over accounting narratives.
3. Concentration: Coverage is intentionally concentrated to reflect the highest-conviction ideas.
4. Alignment: Aurelion operates under a fully independent research model. The team’s personal capital is invested alongside Buy-Rated companies. See disclosures for more information.
Why the Index Is well Positioned for 2026
We believe our approach supports sustained outperformance into 2026, as the portfolio is built on mid to long term ideas with durable fundamentals, which drive consistency.
Many stocks in the Index have not yet appreciated meaningfully and remain in the early stages of their thesis. We believe these theses are sound and should continue to play out in 2026. We maintain high conviction across all holdings in the Aurelion Index.
We also believe the Index is well diversified across ideas and industries. If one sector, such as healthcare, were to underperform in 2026, the portfolio still benefits from exposure to multiple other industries with compelling opportunities.