BBH Mid-Cap Fund’s Q3 Letter Flags Underperformance, Portfolio Exits, and Shift4 Weakness

Overview

• The BBH Select Series – Mid Cap Fund fell 0.9% in Q3 2025 versus a 5.3% gain for the Russell Midcap Index, leaving the fund down 1.8% year to date versus the index up 10.4%.
• Shift4 Payments, Globant, and Bruker were named the largest detractors, with Shift4 down 21.9% in the quarter and ending at a 4.4% portfolio weight.
• BBH exited Globant and Bruker during the quarter to harvest tax losses after sustained underperformance, with any re-entry contingent on stabilization in results.
• New positions were initiated in ITT and BJ’s Wholesale Club, with BBH describing BJ’s as at an inflection point driven by membership momentum and a faster new-club rollout.
• Shift4 slightly missed consensus on volumes, EBITDA, and EPS but beat on net revenue and free cash flow as management reiterated expectations for over 20% organic net revenue growth, while the Global Blue IFRS treatment and a drop in hedge-fund holders to 45 from 55 complicated the market’s read.