Sustainable Growth Advisers (SGA), an investment management company, released its third-quarter investor letter for its “Global Growth Strategy.” A copy of the letter can be downloaded here. The portfolio returned -2.3% (Gross) and -2.5% (Net) in the third quarter, compared to a 7.6% return for the MSCI ACWI and a 9.0% return for the MSCI ACWI Growth. The index returns were fueled by enthusiasm for AI, whereas factors aligned with SGA’s strategy, like quality and sales stability, lagged. SGA’s investment objective is to invest in high-quality growth businesses expected to achieve consistent mid-teens earnings growth, accompanied by stable revenue and cash flow. In addition, please check the fund’s top five holdings to know its best picks in 2025.
In its third-quarter 2025 investor letter, SGA Global Growth Strategy highlighted stocks such as Alibaba Group Holding Limited (NYSE:BABA). Alibaba Group Holding Limited (NYSE:BABA) provides technology infrastructure and marketing reach. The one-month return of Alibaba Group Holding Limited (NYSE:BABA) was -1.51%, and its shares gained 82.11% of their value over the last 52 weeks. On January 2, 2026, Alibaba Group Holding Limited (NYSE:BABA) stock closed at $155.74 per share, with a market capitalization of $371.601 billion.
SGA Global Growth Strategy stated the following regarding Alibaba Group Holding Limited (NYSE:BABA) in its third quarter 2025 investor letter:
“During the quarter, we initiated a position in Alibaba Group Holding Limited (NYSE:BABA), a leading Chinese technology company with dominant platforms in e commerce and cloud computing, and growing capabilities in artificial intelligence. Since we last owned the stock, Alibaba has undergone meaningful organizational transformation, improving its pricing power, growth visibility, and management execution. The company’s mission is now closely aligned with China’s national agenda to pursue AI leadership and transition to a consumption-driven economy.
