Alger Concentrated Equity ETF Underperforms; Apple, Natera Top Contributors, QXO’s $2.25 B Deal Looms
The Alger Concentrated Equity ETF underperformed the Russell 1000 Growth Index in Q3 2025, led by top contributors Alphabet, Natera and Apple and detractors Nebius Group, Sea Limited and Meta Platforms. Separately, QXO’s announcement to acquire Kodiak for $2.25 billion may marginally affect ETF performance.
1. Q3 2025 Performance Commentary
The ETF underperformed the Russell 1000 Growth Index during the third quarter of 2025, driven by strong gains in Alphabet, Natera and Apple which offset declines in Nebius Group, Sea Limited and Meta Platforms. Information Technology and Utilities sectors provided positive relative returns, while Industrials and Health Care holdings detracted.
2. Potential Impact of QXO Acquisition
QXO’s planned $2.25 billion acquisition of Kodiak Building Partners involves $2 billion in cash and 13.2 million shares and is expected to close in early Q2 2026. If QXO is held within the ETF’s concentrated portfolio, this deal could influence fund returns through accretive earnings potential and expanded market exposure.