Brown Advisory's Q1 2026 fund underperforms benchmark, adjusts holdings amid market shifts.

In Q1 2026, Brown Advisory's Sustainable Small-Cap Core Strategy returned -0.8% net of fees, underperforming its benchmark which gained 0.9%. The firm made several portfolio changes, including buying shares in Guardant Health due to its stable competitive position and positive future catalysts, while selling Dynatrace and Prosperity Bancshares to reallocate capital to higher conviction investments. These moves reflect Brown Advisory's active management approach amid a broad software sector de-rating and shifting financial sector opportunities.