— HORIZON KINETICS LLC —
Horizon Kinetics Announces Upcoming Horizon Kinetics Active ETF Portfolio Manager Webinar Series
Horizon Kinetics Launches Japan Owner Operator
ETF (日本 オーナーオペレーター ETF)
(Ticker: JAPN)
3rd Quarter 2025 Commentary
Last quarter’s surprising news was that the 10% return expectation from stocks might be based on out-of-date data (so 20th Century!), with 25-year across-the-spectrum equity ETF returns clustered around 7 to 8%. Despite a decade-long lift from IT and, lately, the AI/data center B-word-market (bull, boom, bubble?). A systemic risk environment has been created for index-based investors. With IT’s index dominance nearing one-half of the S&P 500 (46%, for quibblers, and including Amazon, Meta and Alphabet), there will be nowhere to hide if valuations contract. That initiated an Alternatives discussion. Not your run-of-the-mill Alternatives, but about how to use indexation’s own weight against itself. Starting last quarter with extreme undervaluation and optionality in certain global markets, like Japan, the means and methods discussion of contra-index investing continues. This, quarter, with two business model alternatives: an evergreen index outperformer; and limiting-factor beneficiaries (we'll explain) of continued AI/data center growth.
James Davolos on The ROI Podcast: Central Banks will Run It Hot
(July 2025) In this conversation, James Davolos and Benjamin Demase of ROI Podcast explore the intricate relationship between central banks and real asset inflation.
Guiding Principles
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Value Driven
We are committed to long-horizon, value driven investing and building long-term, continuous relationships with our clients.
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Research Driven
We rely on our own independent research. Written research, and its discipline, has been the cornerstone of our investment process.
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Contrarian
We are contrarian (fact-based) investors. Our vision is typically opposite the movement of the crowd.
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Long Term Investment Horizon
We measure risk as an impairment of capital. Temporary price variability – ‘quotational’ risk – is not synonymous with capital risk. Returns can be increased by extension of the investment horizon rather than by extension of risk.
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Absolute Returns
Our investment approach stresses absolute returns, integrating fundamental research, discipline and patience with the goal of long-term preservation and compounding of capital.
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Opportunistic
Our strategies are driven by fundamental research and opportunity, not capacity for asset gathering.
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Skin in the Game
We invest alongside our clients and believe that a skin in the game approach is critical to aligning interests.