Zephyr's Q4 Top Guns List: Active Managers Shine in Resilient Market

NEW YORK, NY – February 26, 2026 – By Deborah Cooper

Zephyr, a leading asset and wealth management software provider, has unveiled its highly anticipated PSN Top Guns List for the fourth quarter of 2025, identifying the best-in-class investment strategies that outperformed their peers. The report arrives as a testament to the prowess of active management in a period of significant global market recovery, offering a critical benchmark for institutional investors, plan sponsors, and financial advisors.

In a market that rewarded resilience, the Q4 list highlights the separate accounts, managed accounts, and managed ETF strategies that successfully capitalized on favorable economic conditions. The announcement underscores a broader theme: the enduring value of skilled managers who can adeptly pivot through complex market cycles.

A Tale of Resilience and Active Management

The final quarter of 2025 was characterized by a robust performance in global equities, a narrative confirmed by Zephyr's Market Strategist, Ryan Nauman. "The fourth quarter of 2025 demonstrated the resilience of global markets, with equities delivering positive returns, despite challenges such as the longest U.S. government shutdown in history and geopolitical tensions," Nauman noted in his analysis. He attributed the strong performance to a confluence of factors, including "accommodative monetary policies, easing inflation, and strong economic recoveries in key regions."

This environment created a fertile ground for active managers to demonstrate their value. The top-performing firms were not merely riding a market wave but were actively making strategic decisions that set them apart. This ability to navigate both turmoil and opportunity is what the PSN Top Guns list aims to recognize.

"These managers have successfully steered through transformative events such as the COVID-19 pandemic market crash, the Brexit referendum, the US-China trade war, and the global sell-off of 2015-2016," said PSN Product Manager Nick Williams. "Their ability to adapt to evolving market conditions, strategically position across asset classes, and capture opportunities underscores the enduring importance of active management in delivering value to investors."

High Achievers of Q4 2025

Zephyr's report provided a granular look at top performers across several key investment universes. The results showcase impressive quarterly returns from managers specializing in distinct styles and geographies.

In the Large Value Universe, Slow Capital, Inc. led the pack with its Slow Capital Stock strategy, posting an impressive quarterly return of +10.1%. It was followed by established names like Columbia Threadneedle Investments, whose US Focused Large Cap Value strategy returned +9.4%, and Harris Associates L.P. with its U.S. Concentrated Equity strategy at +8.6%.

The Europe Universe saw even stronger returns, with ARGA Investment Management, LP's European Equity Strategy delivering a remarkable +10.8% for the quarter. ARGA, a well-regarded global value equity manager, is known for its fundamental, research-driven approach to identifying undervalued companies. Other top performers in the European space included Wellington Management Company LLP's European Contrarian Value (+9.3%) and Pzena Investment Management, LLC's Pzena European Focused Value (+8.6%).

Meanwhile, in the High Yield Universe, where generating returns requires careful credit analysis, Fidelity Institutional Asset Management's High Yield Opportunistic strategy came out on top with a +2.4% return. As one of the industry's largest players, Fidelity's success in this space highlights its deep resources in credit research. Loomis, Sayles & Company, L.P. and Sage Advisory Services, Ltd. Co. also earned Top Gun status with returns of +2.2% and +2.1%, respectively.

The Science of Selection: Inside the PSN Methodology

Achieving 'Top Gun' status is no small feat and goes far beyond simply posting a single quarter of high returns. The designation is the result of a rigorous, multi-faceted screening process that emphasizes consistency and risk management. PSN, which has been a resource for asset managers for over four decades, leverages its database of over 21,000 products from 2,800 firms to conduct its analysis.

A key criterion for many Top Gun categories is an r-squared of 0.80 or greater relative to the style benchmark for the past five years, ensuring the strategy's performance is truly representative of its stated style. Furthermore, managers must typically exhibit returns greater than the style benchmark over one, three, and five-year periods while also demonstrating a standard deviation below that of the benchmark, a crucial indicator of superior risk-adjusted performance.

This quantitative rigor helps investors and consultants look past market noise and identify managers who have built a track record of consistent, risk-aware outperformance. The methodology provides a layer of objective validation that is highly valued in the due diligence process.

Navigating the Landscape of Investment Research

Zephyr's PSN operates in a competitive field of investment research and data analytics, alongside industry giants like Morningstar, Lipper, and eVestment. Each platform offers tools to help investors sift through thousands of investment options. PSN distinguishes itself with its deep historical database, which spans more than 40 years, and its specific focus on the separately managed account (SMA) market.

While other services provide broad coverage of mutual funds and ETFs, PSN's granular data on SMAs—including asset breakdowns, key personnel, and full holdings—caters to the nuanced needs of institutional investors and high-net-worth advisors. The Top Guns list, with its specific and clearly defined categories like 'Bull & Bear Master' (for outperformance in both up and down markets), offers a unique lens for evaluating manager skill.

More Than a List: Building a Manager Ecosystem

In a move to expand its role beyond data provision, Zephyr is actively building an ecosystem to help recognized managers gain visibility and to foster industry dialogue. The firm recently launched its PSN Manager Advantage program, a promotional package designed to help asset managers leverage their Top Gun status through digital coverage and enhanced marketing.

This initiative provides a tangible way for high-performing, and often smaller, firms to translate their PSN recognition into business development opportunities, offering them a platform to reach a wider audience of potential investors. It signals a strategic shift from being a passive data aggregator to an active partner in the asset management community.

Furthering this community-building effort is the new 'Inside SMAs' podcast, hosted by Nick Williams. The series creates a dynamic forum for exploring SMA strategies, market trends, and industry insights with thought leaders. By creating content that educates and engages, Zephyr is positioning itself at the center of the conversation around this important investment vehicle, reinforcing its expertise and value proposition to the wealth management industry.