Allianz Technology Trust (LSE:ATT) announced on Monday a profit attributable to ordinary shareholders of £44.9 million for the six months ending June 30, 2025, boosted by £48.8 million in fair value investment gains.
During this period, the trust’s net asset value (NAV) total return reached 2.9%, outperforming the Dow Jones World Technology Index (sterling-adjusted, total return), which declined by 0.2%. The share price rose by 1.2%, although the discount to NAV widened to 10.1%, up from 8.4% at the close of 2024. NAV per ordinary share grew to 471.8p from 458.6p, and shareholders’ equity increased slightly to £1,765 million from £1,746.9 million.
Strong performance was driven by gains in entertainment technology, semiconductor stocks, and selected software and IT services. Notably, underweight positions in Apple (NASDAQ:AAPL) and stakes in Cloudflare (NYSE:NET), Spotify Technology (NYSE:SPOT), Robinhood Markets (NASDAQ:HOOD), and CrowdStrike Holdings (NASDAQ:CRWD) outperformed the benchmark.
Conversely, the trust’s largest drag came from underweight holdings in Microsoft (NASDAQ:MSFT) and Nvidia (NASDAQ:NVDA), alongside positions in Atlassian (NASDAQ:TEAM), Klaviyo (NYSE:KVYO), and Alibaba (NYSE:BABA).
Technology hardware stocks declined nearly 20% amid macroeconomic concerns and tariff-related pressures, while semiconductor shares gained ground on growing demand driven by artificial intelligence.
Companies with market caps between $250 billion and $1 trillion, and those from $10 billion to $250 billion, recorded a 6.4% rise, whereas super-megacaps exceeding $1 trillion fell by 4%.
To manage the discount, the trust bought back 6,873,738 shares during the half-year period at an average discount to NAV and subsequently canceled them. No performance fee was recorded.
Top holdings as of June 30 included Nvidia, Microsoft, Broadcom (NASDAQ:AVGO), Apple, Meta Platforms (NASDAQ:META), Taiwan Semiconductor, Alphabet (NASDAQ:GOOGL), Advanced Micro Devices (NASDAQ:AMD), CyberArk Software (NASDAQ:CYBR), and Snowflake (NYSE:SNOW).
Market volatility was influenced by geopolitical tensions, including U.S. protectionist policies introduced by President Donald Trump and conflicts involving Israel and Iran. Central banks took differing approaches to interest rates, with the Federal Reserve holding rates steady, several major banks cutting rates, and the Bank of Japan opting to raise rates.
This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.
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