Jacob Funds, a mutual fund company, released its first-quarter 2026 investor letter. A copy of the letter can be downloaded here. The recent quarter began against the backdrop of the war in the Middle East and concerns about AI disruption in the tech space. However, these concerns eased, leading investors to focus more on AI winners and losers. Despite volatility, the emergence of AI is seen as a potential catalyst for business and economic innovation, similar to the late 1990s dot-com boom. This is happening more slowly than expected, but signs of increased activity suggest broader AI adoption is coming. The firm is optimistic about the portfolio adjustments made earlier this year as agentic AI becomes widely adopted. Please review the Fund's top five holdings to gain insights into their key selections for 2026.
In its second-quarter 2026 investor letter, Jacob Funds highlighted Securitize Corp. (NYSE:SECZ) as a new addition to its Internet Fund, Discovery Fund, and Jacob Small Cap Growth Fund. Securitize Corp. (NYSE:SECZ) is a financial technology company that offers a platform for tokenizing and managing digital asset securities. On July 8, 2026, Securitize Corp. (NYSE:SECZ) closed at $7.41 per share, reflecting a market capitalization of $1.09 billion. Securitize Corp. (NYSE:SECZ) posted a one-month return of -36.99%, while its shares lost 31.58% over the past 52 weeks.
Jacob Funds stated the following regarding Securitize Corp. (NYSE:SECZ) in its Q2 2026 investor update:
"The Jacob Internet Fund added one new position in the quarter, Securitize Corp. (NYSE:SECZ). Formerly, Cantor Equity Partners II, Securitize was recently formed through a SPAC conversion and we believe hid the premier tokenization company available for public investment. Securitize has established partnerships with top managers such as Apollo, BlackRock, KKR as well as many others. In 2025 alone, Securitize outpaced the broader tokenization market, growing its tokenized assets from $1B to $3.4B and delivering more than $3B in net inflows — the largest in the tokenization industry. Securitize is the only company licensed to operate regulated digital-securities infrastructure across both the U.S. and EU, giving it a massive regulatory moat. The tokenized real-world asset market grew from roughly $23 billion at the end of 2025 to $31 billion as of March 2026 — approximately 35% growth in one quarter alone — and, we believe, Securitize is squarely positioned at the center of that expansion."