Troy Asset Management Ltd

Troy Asset Management's $3.35 billion March 2026 13F reflects a Canadian-domiciled, high-quality-compounder manager in the middle of a deliberate portfolio rebalancing driven by valuation rather than thesis change. The portfolio entered Q1 2026 carrying $3.88 billion and exited with $3.35 billion — a 13.6% decline that was substantially mark-to-market rather than trading-based. The most important dollar movement in the filing was Visa, the manager's largest single position at year-end and historically a core holding: Visa was reduced from $757 million to $493 million, a 32% decline in value that came without a complete exit and that reflects the stock's share-price depreciation during a period when the market re-evaluated payment-network growth rates. Alphabet — the portfolio's second-largest position at $588 million at year-end — was reduced from 1.88 million to 1.48 million shares (a 21.3% share-count cut) with a value decline from $588 million to $425 million, a similar price-driven outcome. Microsoft saw a smaller reduction, from 711,900 to 687,272 shares, a 3.5% trim of a position that had been held for many quarters. Paychex, CME Group, Booking Holdings, Meta, Mastercard, Nike, and several other positions were all reduced in share count across a broad range of the portfolio — the equivalent of a partial risk-reduction operation across the manager's existing book. The capital freed by these reductions did not flow to new positions in a meaningful way: the single new entry in the filing is Verisign at $195 million, a domain-name registry and internet-infrastructure company whose .com and .net registry is a registered monopoly with pricing power and whose cybersecurity-services business provides recurring revenue. Verisign is a classic quality-compounder addition: a business with pricing power, high barriers to entry, and predictable cash flows that grows modestly with the expansion of the internet. The portfolio continued to accumulate into Agilent Technologies, Hubbell, and Chubb — all quality-industrial-or-healthcare names with pricing power — while holding Alphabet and Visa at reduced sizes. For readers tracking this manager as a signal of where disciplined, quality-oriented capital is deployed, the portfolio's behavior in Q1 is consistent with the quality-compounder mandate: when high-quality names decline in price, the manager reduces size rather than selling completely, waits for better entry points, and puts new capital into names with similar characteristics rather than reaching for growth at any valuation.