Baron Funds released its second-quarter 2025 investor letter for the Baron Real Estate Fund, showing a 3.61% rise for Institutional Shares. The fund outperformed the MSCI US REIT Index but lagged behind the MSCI USA IMI Extended Real Estate Index. Find out the fund’s top five holdings for 2025.

In the same letter, Baron Real Estate Fund highlighted Prologis, Inc. (NYSE:PLD) as a key stock. Prologis, Inc. saw a one-month return of -2.88% and a 15.38% decrease over the last 52 weeks. On August 1, 2025, Prologis, Inc. closed at $104.91 per share with a market capitalization of $97.363 billion.

Baron Real Estate Fund noted in their investor letter that Prologis, Inc. underperformed in the second quarter due to a slower leasing environment. Despite this, they believe leasing activity has improved and pent-up demand could be unleashed as business confidence grows.

Prologis, Inc. (NYSE:PLD) is a significant player in the industrial real estate sector but is not among the 30 Most Popular Stocks Among Hedge Funds. While 55 hedge funds held Prologis, Inc. at the end of the first quarter, they believe certain AI stocks offer greater potential upside with less downside risk.

Read more at Yahoo Finance: Prologis (PLD) Slid Due to a Slower Leasing Environment