Emerald Wealth Partners, an independent ***** et and wealth management firm based in Zurich, released its Q2 2026 investor letter for the "Focused Equity Strategy." A copy of the letter can be downloaded here. The Strategy reported a 0.8% gross return for the second quarter of 2026. Equity markets rallied after the first quarter's Iran shock faded and oil prices reversed their spike, but the advance remained narrow and concentrated in cyclical semiconductor and memory stocks benefiting from supply constraints. The letter warned that investors were treating peak-cycle earnings as durable, while FOMO, IPO demand, and a US cyclically adjusted P/E ratio near 40 pointed to late-cycle market behavior. Long-term fundamentals are currently undervalued by the market, leading to underperformance in the strategy, notably due to the portfolio's avoidance of low-quality momentum-driven semiconductor stocks, which boosted the benchmark this quarter. It remains focused on enterprise infrastructure, digital platforms, custom silicon, and networking businesses that hold customer relationships, workflow data, distribution, and efficiency advantages, which could allow them to monetize AI rather than be displaced by it. Please review the Strategy's top five holdings for its key selections.
In its second-quarter 2026 investor letter, Emerald Wealth Partners Focused Equity Strategy highlighted Lockheed Martin Corporation (NYSE:LMT). Lockheed Martin Corporation (NYSE:LMT) is an aerospace and defense company that engages in the research, design, development, manufacture, integration, and sustainment of technology systems, products, and services. On August 04, 2026, Lockheed Martin Corporation (NYSE:LMT) closed at $589.33 per share. The one-month return of Lockheed Martin Corporation (NYSE:LMT) was 11.62%, and its shares gained 35.52% over the past 52 weeks. Lockheed Martin Corporation (NYSE:LMT) has a market capitalization of $13.01 billion.
Emerald Wealth Partners Focused Equity Strategy stated the following regarding Lockheed Martin Corporation (NYSE:LMT) in its Q2 2026 investor letter:
"The ceasefire also weighed on Lockheed Martin Corporation (NYSE:LMT), which gave back part of a strong first quarter and detracted 55 bps. Our fundamental ***** sment is unchanged: conflict on European soil and Washington's pressure on NATO allies continue to drive demand for the company's systems sharply higher. But that demand comes with a twist — a business model that now requires heavier investment and carries more risk than Lockheed used to. Having trimmed the position close to its peak in the first quarter, we are comfortable with what we hold today."

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