Pzena Global Small-Cap Value Strategy Trails Benchmark in Q4 as AAP, Adient Weigh

Overview

• Pzena reported a Q4 2025 return of -1.0% for its Global Small Cap Focused Value Strategy versus 2.8% for the MSCI World Small Cap Index.
• The firm said consumer discretionary, industrials, and real estate were the main sector detractors during the quarter.
• Advance Auto Parts was the largest individual detractor after a selloff tied to consumer-sentiment concerns and top-line underperformance versus peers, though Pzena reiterated confidence in the turnaround.
• Adient also weighed on results after issuing guidance that trailed peers, which Pzena attributed to customer expectations rather than share losses or internal challenges.
• Pzena noted global small caps benefited from robust earnings and improved sentiment, with U.S. small caps slightly lagging large caps as international small caps gained; recent data show AAP closed at $51.09 on March 6 and ADNT at $21.18 on March 9, alongside modest increases in hedge-fund holders to 33 for AAP and 32 for ADNT.