In the Q2 2026 Baron Small Cap Fund quarterly letter, Portfolio Manager Cliff Greenberg explores how our research-intensive process helps us identify high-quality, well-managed businesses. Our work ahead of the IPO of Blackstone Digital Infrastructure Trust offers one example. The research team spent considerable time with management, examining the depth of its team, the quality of the identified pipeline, and the clarity of its long-term vision. This research gave us a deeper understanding of what we believe makes for a compelling opportunity. As Cliff explains in the letter, the lack of large-scale capital dedicated to acquiring stabilized data center assets has left a significant volume of institutional-quality assets available at attractive prices with limited competition. Learn more about this investment and other recent activity here: -- Investors should consider the investment objectives, risks, and charges and expenses of the investment carefully before investing. The prospectus and summary prospectuses contain this and other information about the Funds. You may obtain them from the Funds’ distributor, Baron Capital, Inc, by calling 1-800-99-BARON or visiting Please read carefully before investing. Historical performance was impacted by gains from IPOs. There is no guarantee that these results can be repeated or the level of IPO participation will be the same in the future. Risks: Specific risks associated with investing in smaller companies include that the securities may be thinly traded and more difficult to sell during market downturns. Even though the Fund is diversified, it may establish significant positions where the Adviser has the greatest conviction. This could increase volatility of the Fund’s returns. The discussion of market trends is not intended as advice to any person regarding the advisability of investing in any particular security. The views expressed in this post reflect those of the respective writer. Some of our comments are based on management expectations and are considered “forward-looking statements.” Actual future results, however, may prove to be different from our expectations. Our views are a reflection of our best judgment at the time and are subject to change at any time based on market and other conditions and Baron has no obligation to update them. Portfolio holdings as a percentage of net assets as of June 30, 2026 for securities mentioned are as follows: Blackstone Digital Infrastructure Trust Inc. - Baron Small Cap Fund (1.2%). The Top 10 Holdings for Baron Small Cap Fund: Vertiv Holdings Co (7.6%), Red Rock Resorts, Inc. (5.1%), Kinsale Capital Group, Inc. (4.1%), SiteOne Landscape Supply, Inc. (3.7%), JBT Marel Corporation (3.4%), TransDigm Group Incorporated (3.3%), Cognex Corporation (3.2%), Guidewire Software, Inc. (3.0%), Liberty Media Corporation - Liberty Formula One (2.7%), The Baldwin Insurance Group, Inc. (2.5%). Portfolio holdings are subject to change. Current and future portfolio holdings are subject to risk. Investment Products: NOT FDIC INSURED | MAY LOSE VALUE | NOT BANK GUARANTEED BAMCO, Inc. is an investment adviser registered with the U.S. Securities and Exchange Commission (SEC). Baron Capital, Inc. is a broker-dealer registered with the SEC and member of the Financial Industry Regulatory Authority, Inc. (FINRA). ©2026 Baron Capital. All rights reserved.