Portfolio Performance Overview
As of July 2, 2026, the Semiconductor Portfolio has faced headwinds from a broad sector correction, with several positions showing negative returns. The portfolio remains diversified across the semiconductor value chain, including equipment, foundry, design, and specialty chips. Recent weakness is attributed to inventory digestion, geopolitical uncertainties, and mixed demand signals from end markets.
Key Performance Drivers
Positions with established quotes show declines in Siltronic AG (-14.49%), Diodes Incorporated (-14.12%), MACOM Technology Solutions (-12.71%), Amkor Technology (-11.52%), and Nexperia B.V. (-8.78%). Alchip Technologies (PLTR) is nearly flat (+0.65%). Newer positions (picked June 13, 2026) have yet to generate meaningful performance data.
Strategic Adjustments
We are closing two positions to improve portfolio quality:
- Siltronic AG (SSLLF): Weak wafer demand and pricing pressure have eroded the investment thesis. We see better opportunities elsewhere.
- Diodes Incorporated (DIOD): Inventory corrections and margin compression have dimmed the near-term outlook. We are reallocating to stronger analog plays.
All other positions remain intact, as we believe the long-term semiconductor cycle remains intact, driven by AI, automotive, and industrial demand.
Risk Concentration
The portfolio is well-diversified across sub-sectors and geographies. However, we are monitoring exposure to memory and consumer-related chips. The recent addition of Camtek (CAMT) adds inspection equipment exposure, which is a key enabler for advanced nodes.
What to Watch Next
Key catalysts include upcoming earnings from Nvidia, KLA, and NXP, as well as trade policy developments. We are particularly focused on AI-related demand signals and inventory normalization in the analog space.
Disclaimer: This is not investment advice. Past performance is not indicative of future results. All investments carry risk, including loss of principal. Consult a financial advisor before making investment decisions.