Performance Update
In the four months following its public launch (Dec 2025 – March 2026), Alpenglow Total Return (ATR) delivered a net gain of +16.09% for Class P and +15.67% net for Class *A, versus a loss of –0.67% for the passive global 60/40 stock/bond portfolio (**AOR) over the same period. Figures presented are estimated and not yet audited.
*Class P returns reflect actual results on invested capital. As no Class A capital was invested during this period, Class A figures are hypothetical, calculated by applying Class A fee terms to the Fund’s gross returns. Hypothetical performance has inherent limitations and does not reflect returns achieved by any investor. iShares AOR ETF is a daily-liquid public ETF shown for context and differs materially from the Fund in composition, liquidity, and risk.
**iShares AOR ETF is a daily-liquid public ETF shown for context and differs materially from the Fund in composition, liquidity, and risk.
Portfolio Update
Anthropic now represents roughly 25% of the Fund’s NAV by my estimate, a position that began as a ~5% allocation at cost. The growth has come almost entirely from capital appreciation rather than additional purchases. To be clear, we would not intentionally initiate a position of this size; concentration at this level is the byproduct of extraordinary appreciation, which is a good problem to have but a real one nonetheless. We continue to carry the position at a conservative mark relative to current secondary trading.
If we had to be inadvertently over-concentrated in a single position, it’s hard to imagine a better one than Anthropic at this time. The company’s last disclosed annual run-rate revenue was $47 billion as of May 2026, up from roughly $1 billion at the start of 2025. Press reports and market chatter (which remain unverified) suggest the run-rate may now exceed $70 billion and speculate that the company has reached operating profitability. Even on disclosed figures alone, Anthropic has become the fastest-scaling technology company in history and is arguably the most sought-after private-market exposure on earth.
To minimize dilution of existing investors in the Anthropic position, we may cap new investment in the Fund ahead of the company’s rumored October IPO. If/when it does go public, the position will move to real-time mark-to-market, introducing greater NAV volatility. At that time, we will reassess sizing as lockups permit.
Notable portfolio upsizes and additions include Stripe (upsize), as well as Mach Industries and Vulcan Elements (new additions).
Stripe is the quintessential private company that “should be public” by now yet stays private by choice. Its tech stack takes founders from idea to operating company in minimal time and with minimal infrastructure: payments and checkout across 135+ currencies, billing, invoicing, tax compliance, fraud prevention, and embedded banking services including card issuing and financing. The company is robustly profitable, recently generating roughly $2.2 billion in free cash flow and is not dependent on additional equity raises. It has even repurchased its own shares in recent tenders. Transactions equal to ~1.6% of global GDP flow through its platform annually.
Mach Industries and Vulcan Elements are expressions of our views on two key themes that have become strategic imperatives domestically in today’s geo-political landscape.
Mach Industries is a vertically integrated manufacturer of unmanned aerospace and defense systems, positioned at the tip of the spear in America’s push to rebuild domestic defense production. For decades, U.S. capability has centered on small fleets of sophisticated, expensive platforms built on globalized supply chains, with critical components sourced abroad. The wars in Ukraine and Iran have exposed the limits of that model. Today’s warfare consumes cheap, autonomous, attritable (expendable) systems by the tens or hundreds of thousands. America’s domestic industrial base cannot currently replenish munitions at fast enough rates. Deglobalization, trade conflict, and COVID-era supply chain shocks have made defense self-sufficiency a bipartisan strategic imperative. Mach builds for the new wartime table-stakes: multiple low-cost unmanned platforms developed in parallel and manufactured domestically at industrial scale.
Vulcan Elements is an American, vertically integrated producer of neodymium-iron-boron (NdFeB) magnets, essential components in virtually every modern electronic system: satellites, smartphones, MRI machines, robotics, drones, electric motors, and nearly all defense platforms, including F-35 components, precision-guided munitions, radar and sonar, and missile fin actuation. China controls roughly 90% of global NdFeB production and has used export restrictions as trade leverage against the U.S., making domestic capacity a national strategic imperative. In November 2025, the Pentagon’s Office of Strategic Capital committed a $620 million loan to Vulcan, part of a $1.4 billion public-private partnership, and the Commerce Department took a $50 million equity stake.
Market Update
As I discussed in my February 13 letter, asset class returns are driven largely by the interplay of two forces: inflation versus disinflation, and economic expansion versus contraction. The data continue to point to an inflationary late-cycle expansion, though an increasingly concentrated one. What seems clear is that we are in the early innings of the largest technology wave in history, one that will create enormous wealth alongside plenty of ventures that go bust.
AI-related capital expenditure has carried growth despite elevated energy and materials prices and high borrowing costs. If that spending stalls, or if oil rises again and sustains above $120 per barrel, the expansion could quickly tip into contraction. What I do not see is a plausible near-term path to a deflationary regime. Boom or bust, inflation is likely to persist over at least the medium term. The portfolio is positioned accordingly, with meaningful exposure to energy infrastructure and services and no long-duration fixed income.
Organizational Updates
The Fund completed its transition to EFSI as Fund Administrator. The transition and onboarding process is responsible for the delayed Q1 reporting, and we should be able to get caught up through May in the coming weeks.
Alpenglow Capital has grown meaningfully over the past several months, and I am pleased to introduce the newest members of the team.
Joseph W. Campbell has joined as Managing Partner, leading capital formation and investor relations and serving on the Fund’s Investment Committee. Joe brings more than two decades of experience across FinTech, financial data analytics, and capital markets technology.
Efren C. Cleofe, III has joined as Chief Compliance Officer, bringing institutional compliance experience spanning the likes of Goldman Sachs, Morgan Stanley, Merrill Lynch, UBS and others.
Raymond Madden joins as Junior Analyst, supporting daily operations and research. Raymond recently earned his BS in Economics from the University of Nevada.
Greg Poapst joins the Investment Committee as an independent member, deepening our bench. Greg is the founder of Fundviews Capital, which has served as the Fund’s outsourced COO since 2023, and brings more than a decade of experience building fund-of-funds platforms for RIAs and family offices. His expertise spans middle- and back-office operations, manager sourcing, and diligence. He also hosts the Fundviews Podcast and is based in South Florida.
Beyond the team, Alpenglow Capital is registering as an investment adviser in the State of Nevada, which will allow us to offer a broader suite of Outsourced Family Office services alongside managing the Fund. We have also purchased a small office building at 626 Humboldt Street in Midtown Reno and are remodeling it extensively to be our new headquarters. Here is a sneak-peek at renderings for the planned transformation:
More updates to follow.