Overview

• The Large Cap Growth Strategy posted solid absolute gains in Q3 2025 but trailed the Russell 1000 Growth due to underexposure to perceived AI winners and holdings viewed as AI laggards.
• ClearBridge exited UnitedHealth in July after CEO Stephen Helmsley signaled a protracted turnaround, and it sold Workday and Accenture on decelerating growth and rising AI-related risk for application software.
• The firm sold Union Pacific, citing an expected overhang from a Union Pacific–Norfolk Southern merger that could limit upside given a still weak freight backdrop.
• Proceeds funded new positions in Oracle and Datadog and an addition to Broadcom to target cloud infrastructure for generative-AI workloads, custom silicon, and LLM observability.
• The portfolio also added Vertex Pharmaceuticals, repurchased Chipotle, and bought Parker‑Hannifin to gain exposure to biopharma pipelines, consumer recovery, and early‑cycle industrial and aerospace trends as Q3 markets rallied.