AI Analysis · Q1 2026

Corbyn Investment Management's $300M Q1 2026 filing is one of the most structurally unusual portfolios in the dataset — the majority of AUM sits in convertible bonds, zero-coupon SPACs, and pre-merger acquisition vehicles rather than conventional stock, with only 62 holdings and a $107M-per-position average that reflects deliberate concentration rather than passive indexing. The largest equity positions are EMCOR Group ($19.6M, 6.5%, electrical construction), Republic Services ($18.9M, 6.3%, waste management), MYR Group ($17.2M, 5.7%, electrical infrastructure), and Alphabet ($11.0M, 3.7%) — but even these sit inside a book where the top ten also includes MGP Ingredients convertibles ($14.5M), Blackstone Mortgage Trust convertible ($14.4M), Pebblebrook Hotel Trust convertible ($12.7M), Redfin Corp convertible ($10.4M), Sarepta Therapeutics convertible ($10.0M), and Johnson Controls ($12.0M). The Q1 changes reflect a rotation within the convertible-and-credit sleeve: Bandwidth Inc convertible was cut by $7.3M (-49% shares), MYR Group was reduced by $2.1M despite rising in value, Blackstone Mortgage Trust was trimmed by $968K, and Pebblebrook Hotel Trust was decreased by $909K — a consistent pattern of reducing convertible exposure into what appears to be a rising or stable market. The offset was seven new positions including Sarepta Therapeutics convertible ($10.0M), Nextpower ($8.3M), Rush Enterprises, Abbott Laboratories, Akamai Technologies, UPS, and Sherwin-Williams. The sector breakdown tells the story: 76.9% of the book sits in the 'Unknown' bucket (convertibles and SPACs that standard sector taxonomies cannot classify), with utilities, communication services, and financial services making up almost all of the remainder. This is not a stock-picking fund — it is a credit-and-special-situations strategy that uses equity converts and pre-merger vehicles as its primary return driver, with a small long-only equity sleeve for upside optionality.

The convertible-bond sleeve is the portfolio's engine. MGP Ingredients 1.875% 2041 converts ($14.5M), Blackstone Mortgage Trust 5.5% 2027 converts ($14.4M), Pebblebrook Hotel Trust 1.75% 2026 converts ($12.7M), Redfin Corp 0.5% 2027 converts ($10.4M), Sarepta Therapeutics 1.25% 2027 converts ($10.0M), Bandwidth Inc 0.5% 2028 converts ($8.1M), Spectrum Brands 3.375% 2029 converts ($4.5M), Snap Inc 0% 2027 converts ($5.4M), Marriott Vacation Worldwide 0% 2026 converts ($5.1M), and Lucid Group 1.25% 2026 converts ($3.0M) together represent roughly $88M in convertible exposure. These instruments provide equity upside participation through an embedded call option on the underlying stock, combined with the downside protection of a fixed-income floor. The manager's Q1 reductions — Bandwidth down $7.3M (-49%), MYR Group equity down $2.1M, Blackstone Mortgage Trust down $968K, Pebblebrook down $908K, and Spectrum Brands up slightly — suggest the manager is trimming converts that have appreciated into their equity component and recycling into fresh opportunities with more embedded option value remaining. That is a sophisticated credit-and-equity rotation: selling converts that have already converted in all but name, buying converts that still have meaningful downside protection and time value.

The SPAC-and-acquisition sleeve is the portfolio's second major credit event play. FuboTV 3.25% 2026 converts ($14.8M → fully sold), Pennymac Corp 5.5% 2026 converts ($12.1M → fully sold), Summit Hotel Properties 1.5% 2026 converts ($11.3M → fully sold), and Marriott Vacation Worldwide 0% 2026 converts ($5.1M → sold) were all positions tied to specific merger or de-SPAC timelines with near-term maturities. Their complete liquidation in Q1 is the most information-rich single signal in the filing: the manager is exiting SPAC-related credit as the 2024-2025 de-SPAC cycle winds down and maturities approach, taking the certainty of near-term cash return over the optionality of a potential post-merger equity recovery. The new positions that replaced them — Nextpower ($8.3M, a next-generation nuclear/SMR developer), Rush Enterprises ($1.7M, truck dealerships), and Abbott Laboratories ($1.7M) — are all conventional equity names, suggesting the manager is rotating out of the de-SPAC/credit-event space and into operational businesses with independent earnings power.

Quarter at a glance — Q1 2026

Top 10 holdings

Filing history