Weekly Update: A Test of Strategy—How We Outperformed in a Volatile Market
Hello everyone. This week provided a clear test for our investment strategy. While major indices were flat or negative, our focus on high-quality tech allowed us to outperform and advance our year-to-date return to +16%, nearly 13% ahead of the Nasdaq 100 ($NSDQ100 )
(Note: This analysis is based on performance data as of the market close on Friday, June 20th.)
Performance vs. Benchmarks
The attached image details our strong performance, including a +0.87% gain this week while both the Nasdaq 100 and S&P 500 ($SPX500 ) were negative. This highlights the resilience of our holdings and maintains our substantial outperformance.
Key Drivers of Outperformance This Week
Our outperformance was driven by two main factors:
- Strength in Semiconductors: Our core AI hardware positions performed exceptionally well, bucking the general market trend.
- Successful Portfolio Reallocation: Our new positions in key infrastructure areas showed immediate relative strength, validating the strategic shift.
Portfolio Changes Executed This Week
As part of our active management strategy, the following adjustments were made:
* SOLD: The full position in Alphabet ($GOOG) was closed.
* TRIMMED: The position in NVIDIA ($NVDA) was reduced to its current weight of 11.0%.
* BOUGHT: A new position in Marvell Technology ($MRVL), now at 9.3% of the portfolio.
* BOUGHT: A new position in Datadog ($DDOG), now at 4.3% of the portfolio.
The rationale is to deliberately shift capital from mature businesses facing new competitive threats (like AI's impact on search) into the high-margin 'architects' of the next tech wave: AI infrastructure (MRVL) and cloud observability (DDOG). This move better aligns our portfolio with the most powerful growth trends in tech.
My commitment is to continue executing this long-term strategy with the discipline required to navigate any market condition. Thank you for your continued trust as we build sustainable wealth together.
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