Artisan Partners’ mid-cap fund underperformed the Russell Midcap Value Index by over 8% in Q1 2026 amid market volatility and sector rotation.
Artisan Mid Cap Value Fund posted negative returns in Q1 2026, with its Investor, Advisor, and Institutional classes declining 4.93%, 4.90%, and 4.97%, respectively. The fund trailed the Russell Midcap Value Index, which gained 3.68%, as momentum-driven stocks outperformed quality factors and select holdings faced company-specific challenges.
Mid- and small-cap indices showed resilience despite large-cap growth dominance, while volatility surged due to AI interest, private credit, and geopolitical tensions, including conflict in Iran. Energy stocks led sector gains, contrasting with mixed performance elsewhere. Analog Devices (NASDAQ:ADI) was highlighted as a standout holding, closing at $379.03 on July 7, 2026.
The fund continues to target undervalued companies with growth potential amid market dislocations, seeking attractive entry points during periods of heightened volatility.