Portfolio manager comments — Q2 2025
Fund performance was positive during the quarter, rising by nearly 16% in SEK.
The US equity market has been volatile since April. An initial downturn caused by new tariffs was followed by a rapid recovery, particularly in the technology sector. Donald Trump’s return as president has influenced market sentiment, with increased focus on deregulation, tax cuts and changes to trade policy, creating uncertainty in corporate planning.
The digital transformation accelerated during the second quarter, driven by AI and cloud services. These enable automation, data-driven decision-making and more flexible business models. Despite challenges such as talent shortages and system integration difficulties, investment appetite remains high.
Early in the year, the market began to question the growth rate of AI infrastructure, but strong reports from relevant companies reversed sentiment. Holdings with exposure to data centers such as Vertiv, Nvidia, Broadcom and Japan’s NTT Data (which was acquired) contributed positively. Consumer digitalization also performed well, with companies like Netflix and Spotify delivering strong results. Microsoft rose after a strong report, while Cellebrite and QT Group underperformed. A weaker USD negatively affected fund returns.
The fund increased its exposure to digitalization in real estate and logistics through an investment in Rightmove. At the same time, smaller holdings in QT Group and Dassault Systèmes were sold, and profits were taken in Mastercard, where increased competition from fintech and regulatory pressure in payments created some concern.
The digitalization theme continues to be shaped by developments in AI. Companies that can combine utility with profitability in their AI strategies are expected to be best positioned going forward.