AI Analysis · Q1 2026 · Q1 2026

Edgewood Management's Q1 2026 13F is a $15.5B, 87-position mega-fund at a decisive inflection point — the portfolio's AUM dropped from $21.0B in Q4 2025 to $15.5B in Q1 2026 (a $5.5B decline, likely driven by redemptions as much as by market moves), and the quarter's trading reflects a manager that is pruning its largest winners and redeploying selectively. The headline cuts are concentrated in the names that had driven Edgewood's 2024-2025 outperformance: Eli Lilly -$711.6M (-44.5% shares), Blackstone -$597.7M (-56.3%), S&P Global -$579.8M (-60.1%), Visa -$402.1M (-20.2%), Intuit -$400.7M (-15.0%), Nvidia -$396.5M (-19.2%), Synopsys -$357.6M (-15.9%), ASML -$357.4M (-37.1%), Fair Isaac -$352.9M (-1.9%), and Broadcom -$300.2M (-12.6%) — a synchronized $4.1B reduction in the top-decile quality-tech-and-financial-services core that had defined the portfolio's identity. The offset was more selective: Netflix +$209.7M (+15.5% shares), Amphenol +$159.9M (+47.5%), TransDigm +$34.1M fewer dollars but +6.2% shares (the value 'decrease' is a mark-to-market artifact — current value is $715.7M vs $773.2M prior, but share count rose), ServiceNow +$29.4M fewer dollars but +37.2% shares, Axon +$14.9M (+36.1%), and Spotify +$6.6M (+21.0%). New opens — Intuitive Surgical ($717.3M, a surgical-robotics name that had been in the prior book under an '0Infinity' CUSIP artifact, now properly classified), NextEra Energy ($2.5M, clean energy), Pfizer ($2.3M, pharma), Allient ($2.3M, specialty-industrial), and Berkshire Hathaway A ($2.2M, 3 shares — a demonstrative or legacy position) — are small relative to the cuts and do not offset them. The net read: a $15.5B quality-tech mega-fund in a managed de-risking of its highest-conviction 2024-2025 names, presumably because the manager views valuations as extended and wants to lock in gains before a broader correction, while adding to the highest-conviction residual names (Netflix streaming, Amphenol connectivity, TransDigm aerospace) that are expected to weather a rotation. The 55 total changes (5 new, 5 sold, 7 increased, 25 decreased, 13 unchanged) is the highest churn in this batch and reflects an active desk rebalancing a mega-portfolio in real time.