1 Main Capital, a boutique investment firm, recently released its second-quarter 2026 investor letter.
A copy of the letter can be downloaded here. 1 Main Capital Partners returned 15.0% in Q2 2026, compared to 15.2% and 21.6% for the S&P 500 (SPX) and Russell 2000 (RTY), respectively
SPX and RTY delivered their best performance since 2026 driven by the resolution of the Iran conflict and increased oil flow through the Strait of Hormuz and strong demand for AI infrastructure. However, the fund avoided direct exposure to the booming AI semiconductor trade, citing valuation and durability concerns, but remains optimistic about AI’s long-term productivity impact. The firm remains committed to its investment principles, focusing on solid businesses and maintaining a strategic approach.
While, optimism continues about long-term productivity gains from technology, which could strengthen GDP growth and positively impact the portfolio. In addition, please check the Fund’s top five holdings to know its best picks in 2026. In its Q2 2026 investor letter, 1 Main Capital highlighted DiaMedica Therapeutics Inc. (NASDAQ:DMAC).