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A copy of the letter can be downloaded here. Equity markets continued their rally in the third quarter, driven by continued optimism around AI investments and positive corporate earnings. Against this backdrop, the fund (I share) returned +4.11% in the quarter compared to +10.51% for the Russell 1000 Growth Index. In addition, please check the fund’s top five holdings to know its best picks in 2025.In its third-quarter 2025 investor letter, TCW Concentrated Large Cap Growth Fund highlighted stocks such as Spotify Technology S.A. (NYSE:SPOT). Headquartered in Luxembourg City, Luxembourg, Spotify Technology S.A. (NYSE:SPOT) offers audio streaming subscription services. The one-month return of Spotify Technology S.A. (NYSE:SPOT) was -1.03%, and its shares gained 27.06% of their value over the last 52 weeks. On December 24, 2025, Spotify Technology S.A. (NYSE:SPOT) stock closed at $586.57 per share, with a market capitalization of $120.771 billion.TCW Concentrated Large Cap Growth Fund stated the following regarding Spotify Technology S.A. (NYSE:SPOT) in its third quarter 2025 investor letter:"Spotify Technology S.A. (NYSE:SPOT) (SPOT; Communication Services; 1.21%**) – Headquartered in Sweden, Spotify is the leading audio streaming subscription service with a community of approximately 700 million monthly active users, and over 275 million paying subscribers. The company controls ~1/3 of the global music streaming market, providing SPOT with scale to negotiate with music labels during pricing negotiations. The company manages its business in two segments: premium (~90% of revenues) and ad-supported (~10% of revenues). After not raising prices for over a decade, the company has recently begun to take price with limited impact to customer churn. We believe SPOT has numerous levers to pull to accelerate growth, including adding new users, converting ad-supported users to premium subscribers, and price increases. We are attracted to the company’s scale in a secularly growing market and believe the current share price does not adequately reflect the longer-term cash f low generation potential of the business."Jim Cramer Recommends Buying Spotify (SPOT) Shares During “Periodic Moments of Underperformance”Spotify Technology S.A. (NYSE:SPOT) is in the 25th position on our list of 30 Most Popular Stocks Among Hedge Funds. According to our database, 116 hedge fund portfolios held Spotify Technology S.A. (NYSE:SPOT) at the end of the third quarter, up from 111 in the previous quarter. While we acknowledge the potential of Spotify Technology S.A. (NYSE:SPOT) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. 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.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P 5006,929.94 -2.11 (-0.03%)Dow 3048,710.97 -20.19 (-0.04%)Nasdaq23,593.10 -20.21 (-0.09%)Russell 20002,532.66 -15.42 (-0.61%)VIX13.58 +0.11 (+0.82%)Gold4,560.60 +57.80 (+1.28%)Trending tickersTGT Target Corporation 99.55 +3.02 (+3.13%)NVDA NVIDIA Corporation 190.53 +1.92 (+1.02%)SLV iShares Silver Trust 71.12 +5.90 (+9.05%)XPEV XPeng Inc. 20.79 +1.22 (+6.23%)SI=F Silver Mar 26 78.84 +7.15 (+9.98%)PortfolioSign in to access your portfolioSign inTop gainersPSLV Sprott Physical Silver Trust 26.03 +2.07 (+8.64%)ZETA Zeta Global Holdings Corp. 20.71 +1.59 (+8.35%)ELPC Companhia Paranaense de Energia 9.49 +0.63 (+7.11%)CPNG Coupang, Inc. 24.28 +1.48 (+6.49%)XPEV XPeng Inc. 20.79 +1.22 (+6.23%)Top losersRGC Regencell Bioscience Holdings Limited 21.16 -3.44 (-13.98%)FLY Firefly Aerospace Inc. 23.34 -3.70 (-13.68%)TMC TMC the metals company Inc. 6.82 -0.80 (-10.50%)AAOI Applied Optoelectronics, Inc. 37.17 -3.83 (-9.34%)RGTI Rigetti Computing, Inc. 22.38 -2.13 (-8.69%)Most activeNVDA NVIDIA Corporation 190.53 +1.92 (+1.02%)TSLA Tesla, Inc. 475.19 -10.21 (-2.10%)PLUG Plug Power Inc. 2.0700 -0.0300 (-1.43%)ONDS Ondas Holdings Inc. 8.48 -0.65 (-7.12%)NIO NIO Inc. 5.11 +0.20 (+4.07%)Top economic eventsEarnings eventsMy earnings eventsEarnings events