Baron Funds released its third-quarter 2025 investor letter for the Baron FinTech Fund, reporting a 4.29% decrease (Institutional Shares) compared to a 1.90% drop for the FactSet Global FinTech Index (Benchmark). The fund has seen an annualized 11.10% return since inception, outperforming the Benchmark’s 4.00%. Market strength in the quarter was driven by Federal Reserve rate cuts and AI optimism.

In the same letter, Baron FinTech Fund highlighted Tradeweb Markets Inc. (NASDAQ:TW), a global financial technology company. Tradeweb Markets Inc. (NASDAQ:TW) shares had a one-month return of 0.59% and decreased by 16.13% over the last 52 weeks. As of November 14, 2025, the stock closed at $109.52 per share with a market capitalization of $24.039 billion.

Baron FinTech Fund’s third-quarter 2025 investor letter mentioned Tradeweb Markets Inc. (NASDAQ:TW) experiencing a decline due to lower market volatility and challenging comparisons from the previous year. Despite this, the company showed solid business trends with a 12% increase in trading volumes, driving anticipated double-digit revenue growth. The fund remains invested in Tradeweb due to its strong network effects, innovative track record, and growth opportunities in capital markets.

Tradeweb Markets Inc. (NASDAQ:TW) was not among the 30 Most Popular Stocks Among Hedge Funds in 2024’s third quarter. In the third quarter of 2025, the company reported record revenues of $509 million, up 13% year-on-year. While acknowledging Tradeweb’s potential, some AI stocks are seen as offering greater upside potential with lower downside risk. For those interested in an undervalued AI stock with potential benefits from Trump-era tariffs and the onshoring trend, a free report on the best short-term AI stock is recommended.

Read more at Yahoo Finance: Here’s What Impacted Tradeweb Markets (TW) in Q3