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Appreciation Strategy 3Q25 Update

September 23, 2025

Portfolio Manager Stephen Rigo explains the key tenets of the ClearBridge Appreciation Strategy, how risk management is key to compounding returns, how they seek to take advantage of inefficiencies in markets, and how the portfolio is positioned for the rest of 2025 and 2026.

Related Perspectives

Momentum is Meeting Resistance
Appreciation 3Q26: Strong earnings growth continued to support equities, but sticky inflation, rising interest rates and deteriorating market breadth made the rally increasingly vulnerable.
Rally Leaves Room for Reversal
Appreciation 2Q26: We would view a correction, even a reasonably sharp one, as healthy for the long-term durability of the bull market.
Volatility Returns, Selectivity Matters
Appreciation 1Q26: Amid rotating market leadership and heightened inflation, policy and labor risks, a few positive trends urge selectivity and strong fundamentals in portfolio construction.
The Probability of a Correction Has Risen
Appreciation 4Q25: While stocks have a positive backdrop, speculative risks appear to be building especially around AI, and there is little valuation support to fall back on.
Focusing on Cash Flow Durability in White-Hot Market
Appreciation 3Q25: The market appears to be entering a more speculative phase, raising the risk of correction.
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  • Past performance is no guarantee of future results. Copyright © 2025 ClearBridge Investments. All opinions and data included in this commentary are as of the publication date and are subject to change. The opinions and views expressed herein are of the author and may differ from other portfolio managers or the firm as a whole, and are not intended to be a forecast of future events, a guarantee of future results or investment advice. This information should not be used as the sole basis to make any investment decision. The statistics have been obtained from sources believed to be reliable, but the accuracy and completeness of this information cannot be guaranteed. Neither ClearBridge Investments, LLC  nor its information providers are responsible for any damages or losses arising from any use of this information.

  • Performance source: Internal. Benchmark source: Standard & Poor's.

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