A 10-year-old boutique in Georgia took the lead last year among the smallest fund firms, even as the group's net flows swung negative, according to the latest data from the folks at a publicly traded investment research firm.

This article draws from Morningstar Direct data on December 2025 mutual fund and ETF flows, excluding money-market funds and funds-of-funds. (Other asset management products, like collective trusts and separate accounts, are also not included.) More specifically, this article focuses on the 482 firms (up by 6 month-over-month from November 2025, down by 2 quarter-over-quarter from September 2025, and down by 36 year-over-year from December 2024) with fewer than 10 long-term mutual funds or ETFs each.

Holbrook Holdings took the lead last year, thanks to an estimated $1.349 billion in net 2025 inflows, up by $695 million Y/Y from 2024. Other big 2025 inflows winners included:

Performance Trust Asset Management, $1.214 billion (down by $1.203 billion Y/Y);

Regan Capital, $1.135 billion (up by $484 million Y/Y);EntrepreneurShares, $1.005 billion (up by $990 million Y/Y); and

SP Funds, $920 million (up by $206 million Y/Y).

CF Benchmarks pulled ahead last quarter, thanks to an estimated $829 million in net inflows in the fourth quarter of 2025. Other big Q4 2025 inflows winners included: EntrepreneurShares, $788 million; and REgan, $645 million.

EntrepreneurShares took the lead last month, thanks to an estimated $868 million in net December 2025 inflows. Other big inflows winners included: Kensington, $145 million; and Performance Trust, $122 million.

Last month, there were at least five apparent mutual fund and ETF industry newcomers: Corgi Strategies, Deepwater, Fundsmith, Pathfinder ETFs, and Truth Social Funds.

On the flipside, Edgewood pulled ahead in outflows last year, thanks to an esetimated $10.595 billion in net 2025 outflows, up by $7.779 billion Y/Y from 2024. Other big 2025 outflows sufferers included:

Primecap, $4.863 billion (down by $138 million Y/Y);

Akre, $2.458 billion (down by $228 million Y/Y);

Champlain, $2.354 billion (up by $620 million Y/Y); and

Nuance, $1.132 billion (down by $547 million Y/Y).

Edgewood also led the outflows pack for a second quarter in a row, thanks to an estimated $6.059 billion in Q4 2025 outflows. Other big outflows sufferers last quarter included: Primecap, $1.22 billion; and Akre, $1.066 billion.

And Edgewood also led the outflows pack for a fourth consecutive month, thanks to an estimated $2.118 billion in net December 2025 outflows. Other big outflows sufferers last month included: Primecap, $874 million; and Champlain, $321 million.

As of December 31, 2025, small fund firms held $267 billion in AUM, accounting for 0.8 percent of overall industry long-term fund AUM and down by $7 billion M/M, by $38 billion Q/Q, and by $43 billion Y/Y. Those firms ended last year with a combined 1,353 long-term mutual funds and ETFs, accounting for 3.1 percent of all industry funds and down by 9 M/M, by 53 Q/Q, and by 142 Y/Y.

As a group, small fund firms suffered $8.448 billion in net 2025 outflows, a $26.843-billion net flows drop Y/Y. 51.7 percent of small fund firms brought in net inflows last year.

In Q4 2025, small fund firms suffered an estimated $5.513 billion in net outflows. 51.2 percent of small fund firms brought in net inflows last quarter.

In December 2025, small fund firms suffered an estimated $2.329 billion in net outflows. 50 percent of small fund firms brought in net inflows last month.

The whole industry of 772 firms tracked by the M* team (up by 2 M/M and Q/Q, but down by 34 Y/Y) ended last year with $35.436 trillion in AUM, down by $33 billion M/M but up by $744 billion Q/Q and up by $4.889 trillion Y/Y. The industry had 43,499 ETFs and long-term mutual funds at the end of December 2025, down by 252 M/M and by 3,179 Q/Q, but up by 107 Y/Y.

Across the whole industry, fund firms brought in $771.981 billion in 2025 inflows. That's up by $48.551 billion Y/Y.

In Q4 2025, the industry brought in $323.399 billion in net inflows. In December 2025 alone, the industry brought in $149.233 billion. 

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