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Polar Capital Technology – At the foothills of an AI mountain

Over the past year, Polar Capital Technology (PCT) has strongly outperformed its benchmark, with its NAV total return nearly double that of the Dow Jones Global Tech Index. This reflects the success of its bold AI-focused strategy, where it has taken large positions in lesser-known companies expected to benefit from AI infrastructure bottlenecks, while selling those it sees as less promising.

This approach has driven strong returns recently and helped PCT avoid losses as markets reacted to plans for increased spending during 2026 by major US tech firms. While debate continues over whether the sector is in a bubble, PCT’s manager believes we are still at the early stages of AI growth, supported by rapid innovation such as Alphabet’s Gemini 3 launch and rising enterprise adoption, which is expected to accelerate with agentic AI (AI that can run autonomously with little human input and can act like a proactive assistant, planning, reasoning and taking multi-step actions to achieve complex goals).