Virtus KAR Mid-Cap Growth Fund Q2 2026 Commentary

The Virtus KAR Mid-Cap Growth Fund (PHSKX) underperformed the Russell Midcap® Growth Index in Q2 2026, returning 11.85% against the index's 14.55%. While Datadog and Comfort Systems contributed positively, Insulet and Trimble were the largest detractors. The fund's underperformance was primarily due to stock selection in information technology and consumer discretionary, though an underweight in energy and strong healthcare picks provided some offset.