Jensen Investment Management Portfolio Q2'2025: Top Holdings & Recent Changes
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Jensen Investment Management continues to exemplify disciplined, quality-focused investing even as market volatility challenges traditional growth narratives. Their Q2 2025 portfolio reflects a series of tactical reductions in major tech and healthcare names, alongside a notable new buy, signaling a careful recalibration rather than wholesale strategic change.
Portfolio Overview: Defensive Shifts and Enduring Conviction
Portfolio Highlights (Q2’2025): - Market Value: $8,532.3M - Top 10 Holdings: 54.8% - Portfolio Size: 83 -1 - Average Holding Period: 28 quarters - Turnover: 8.4%
Jensen’s Q2 2025 portfolio remains highly diversified, with 83 positions and a top-10 concentration of 54.8%. This balance between conviction and diversification is a hallmark of the firm’s approach, allowing for meaningful bets on quality while mitigating single-stock risk. The average holding period of 28 quarters (7 years) underscores a long-term mindset, while the modest 8.4% turnover reflects selective, rather than reactionary, portfolio adjustments.
The latest quarter saw a net reduction of one position, but the most significant activity was within the top holdings. Jensen trimmed exposure to several large-cap growth names, a move likely driven by valuation discipline and risk management as market multiples remain elevated. The overall structure continues to favor established, cash-generative businesses across technology, healthcare, and financials, with a measured tilt toward defensive sectors.
Top Holdings Analysis: Quality Core, Tactical Reductions
The portfolio is anchored by Microsoft Corp at 9.1%, though Jensen reduced this position by 11.70%. Stryker Corp 6.6% also saw a 6.58% reduction, reflecting a cautious stance on healthcare valuations. Marsh & McLennan Companies Inc 6.2% stands out as a new buy, signaling fresh conviction in the insurance and consulting space. Intuit Inc. 5.8% was trimmed by 24.23%, while Apple Inc. 5.6% faced an 18.01% reduction, both moves indicative of profit-taking in high-flying tech.
Alphabet Inc Cap Stk Cl A 4.9% was reduced by 14.30%, and Accenture plc 4.6% saw the largest proportional cut among the top holdings at 27.71%. Mastercard Inc 4.1% and KLA Corporation 4.1% were also trimmed by 9.86% and 14.71%, respectively. Notably, Abbott Labs 3.8% was added aggressively, with a 74.15% increase, suggesting renewed optimism in the healthcare sector.
Other significant positions, drawn from the top 10, further reinforce Jensen’s preference for established industry leaders with resilient business models. Across these holdings, the firm’s actions reflect a blend of valuation sensitivity and a willingness to reallocate capital toward perceived opportunity, rather than simply riding momentum.
What the Portfolio Reveals About Current Strategy
- Quality Over Momentum: Jensen’s consistent preference for large, cash-generative companies is evident, with tactical reductions in high-valuation names and a new buy in a defensive sector.
- Sector Balance: The portfolio maintains significant exposure to technology, healthcare, and financials, but recent moves suggest a tilt toward more defensive, less cyclical businesses.
- Risk Management: The reduction in several top holdings, especially those with elevated valuations, highlights a disciplined approach to risk and a reluctance to chase recent winners.
- Long-Term Orientation: With an average holding period of 28 quarters, Jensen demonstrates patience and a focus on compounding, rather than frequent trading.
Portfolio Concentration Analysis
| Position | Value | % of Portfolio | Recent Change |
|---|---|---|---|
| Microsoft Corp | $780.7M | 9.1% | Reduce 11.70% |
| Stryker Corp | $560.9M | 6.6% | Reduce 6.58% |
| Marsh & McLennan Companies Inc | $529.9M | 6.2% | Buy |
| Intuit Inc. | $495.0M | 5.8% | Reduce 24.23% |
| Apple Inc. | $475.4M | 5.6% | Reduce 18.01% |
| Alphabet Inc Cap Stk Cl A | $418.6M | 4.9% | Reduce 14.30% |
| Accenture plc | $396.6M | 4.6% | Reduce 27.71% |
| Mastercard Inc | $348.9M | 4.1% | Reduce 9.86% |
| KLA Corporation | $348.5M | 4.1% | Reduce 14.71% |
The table above highlights a portfolio where the top 10 holdings comprise over half of total assets, yet no single position dominates. The largest holding, Microsoft, is just over 9%, with the rest of the top 10 ranging from 4% to 7%. This structure reflects Jensen’s commitment to both conviction and diversification, reducing the risk of any one stock derailing overall performance. The prevalence of reductions among the top holdings signals a broad-based effort to lock in gains and rebalance risk, rather than a targeted exit from any single sector.
Investment Lessons from Jensen Investment Management
- Conviction with Diversification: Concentrate capital in best ideas, but avoid overexposure to any single stock.
- Long-Term Patience: Hold quality businesses for years, allowing compounding to work.
- Valuation Discipline: Trim or reduce positions when valuations become stretched, regardless of past performance.
- Opportunistic Rebalancing: Be willing to add to positions (like Abbott Labs) when fundamentals and price align.
- Risk Management: Regularly review and adjust position sizes to maintain a balanced risk profile.
Looking Ahead: What Comes Next?
With a modest turnover and a cash-generative core, Jensen Investment Management is well-positioned to capitalize on future market dislocations. The recent reductions in high-valuation tech and healthcare suggest a cautious outlook, while the aggressive addition to Abbott Labs hints at selective optimism in defensive growth. Investors should watch for further moves into sectors offering stability and reasonable valuations, as well as potential new positions if market volatility creates attractive entry points. The portfolio’s current structure provides both resilience and flexibility for whatever the next quarter brings.
FAQ about Jensen Investment Management Portfolio
Q: Why did Jensen reduce so many top holdings this quarter?
Jensen trimmed several large positions, including Microsoft, Apple, and Accenture, primarily to manage risk and lock in gains after strong performance. This reflects their valuation discipline and commitment to long-term capital preservation.
Q: How concentrated is Jensen’s portfolio?
The top 10 holdings account for 54.8% of assets, with the largest single position at 9.1%. This balance allows for meaningful conviction without excessive single-stock risk.
Q: What is Jensen’s average holding period?
Jensen’s average holding period is 28 quarters (7 years), demonstrating a long-term, buy-and-hold philosophy focused on compounding returns.
Q: Which sectors does Jensen favor?
Jensen’s portfolio is anchored in technology, healthcare, and financials, but recent moves indicate a tilt toward more defensive sectors and away from high-valuation growth.
Q: How can I track Jensen’s portfolio changes?
You can follow all of Jensen’s 13F filing updates and detailed portfolio analytics on ValueSense. Keep in mind that 13F filings are reported with a 45-day lag, so some changes may not reflect the most current positioning.
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