Gabelli Investment Management Firm recently released its "Global Growth Fund" second-quarter 2026 investor letter. A copy of the letter can be downloaded here. The Fund returned 12.84% in the second quarter of 2026, compared with 15.2% for the S&P 500 Index and 15.1% for the MSCI All Country World Index.
The Fund benefited from strong performance across several areas of the portfolio and continued to increase exposure to businesses positioned to benefit from long-term growth themes, including artificial intelligence, automation, industrial technology, and defense. The portfolio remained relatively concentrated, with 45 companies at quarter-end; its top five holdings represented 25% of portfolio assets, while the top 10 accounted for 43%. Looking ahead, the Fund continues to take a long-term ownership approach, concentrating capital in its highest-conviction ideas and accepting potentially higher short-term volatility in pursuit of long-term value creation.
The Fund had $194 million in net assets and has delivered a 10.08% annualized return since inception. In addition, please check the Fund's top five holdings to know its best picks in 2026. In its second-quarter 2026 investor letter, Gabelli Global Growth Fund highlighted Advanced Micro Devices Inc. (NASDAQ:AMD).
Advanced Micro Devices Inc. designs and develops high-performance computing, graphics, and adaptive computing products, serving markets including data centers, PCs, gaming, and embedded applications. The one-month return of Advanced Micro Devices Inc. (NASDAQ:AMD) was 29.14% while its shares traded between $154.78 and $617.71 over the last 52 weeks. On September 21, 2026, Advanced Micro Devices Inc. (NASDAQ:AMD) stock closed at approximately $615.52 per share, with a market capitalization of about $1.01 trillion.
Gabelli Global Growth Fund stated the following regarding Advanced Micro Devices Inc. (NASDAQ:AMD) in its Q2 2026 investor letter: "During the quarter we added a new position in Advanced Micro Devices Inc. (NASDAQ:AMD) (1.1% of net assets as of June 30, 2026)." Advanced Micro Devices Inc. (NASDAQ:AMD) is in 20th position on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. As per our database, 164 hedge fund portfolios held Advanced Micro Devices Inc. (NASDAQ:AMD) at the end of the first quarter, which was 134 in the previous quarter. While we acknowledge the risk and potential of Advanced Micro Devices Inc. (NASDAQ:AMD) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame.
If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. In another article, we covered Advanced Micro Devices Inc. (NASDAQ:AMD) and shared Jim Cramer's views on the company. In addition, please check out our hedge fund investor letters Q1 2026 page for more investor letters from hedge funds and other leading investors.
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