UK Investment Firm Exits Microsoft, Boosts Nvidia Stake
18 April 2025 · Uncategorized ·
Source: · https://finance.technews.tw/2025/04/18/blue-whale-sells-microsoft-meta-shares/
Amid concerns about a global economic slowdown stemming from the US-China tariff war initiated under President Donald Trump, Peter Hargreaves–backed Blue Whale Growth fund has fully divested its holdings in Meta Platforms (formerly Facebook).
According to a Financial Times report published on April 18th, Stephen Yiu, manager of the Blue Whale Growth Fund, stated during an interview that he sold off his entire stake in Meta several days after President Trump imposed reciprocal tariffs against all trade partners on “Liberation Day” (April 2nd).
Yiu expressed concerns about the potential impact of these tariffs on global economic growth and subsequently on Meta’s digital advertising business. "When you have a globally integrated digital ad business, revenues are bound to be affected as the world economy slows down with uncertainty," he stated.
The fund had previously sold its shares in Meta in January 2022 after holding them for four years before repurchasing them on October 17th, 2023. The stock price increased by over 70% between that date and April 3rd, 2024.
Furthermore, Yiu revealed the fund has also fully divested its holdings in Microsoft (MSFT) due to concerns about substantial investments in artificial intelligence. He began selling off his shares before December 2023, believing AI capital expenditures would soon outpace cash flow.
Conversely, over recent weeks, Yiu has been increasing Blue Whale Growth Fund’s investment in Nvidia Corp., a leading chipmaker for AI applications, from 7% at year-end to 10%. "Although US export controls present short-term challenges, NVIDIA is still expected to benefit from increased corporate and consumer spending on artificial intelligence. The competition between China and the United States in this field will be a key focus over the next few years," he noted.
Year-to-date performance shows Meta’s stock price has fallen by 14.35%, Microsoft's by 12.74%, while Nvidia Corp.’s dropped by 24.42%.
(Transliteration authorized by MoneyDJ News; Image source: Shutterstock)
According to a Financial Times report published on April 18th, Stephen Yiu, manager of the Blue Whale Growth Fund, stated during an interview that he sold off his entire stake in Meta several days after President Trump imposed reciprocal tariffs against all trade partners on “Liberation Day” (April 2nd).
Yiu expressed concerns about the potential impact of these tariffs on global economic growth and subsequently on Meta’s digital advertising business. "When you have a globally integrated digital ad business, revenues are bound to be affected as the world economy slows down with uncertainty," he stated.
The fund had previously sold its shares in Meta in January 2022 after holding them for four years before repurchasing them on October 17th, 2023. The stock price increased by over 70% between that date and April 3rd, 2024.
Furthermore, Yiu revealed the fund has also fully divested its holdings in Microsoft (MSFT) due to concerns about substantial investments in artificial intelligence. He began selling off his shares before December 2023, believing AI capital expenditures would soon outpace cash flow.
Conversely, over recent weeks, Yiu has been increasing Blue Whale Growth Fund’s investment in Nvidia Corp., a leading chipmaker for AI applications, from 7% at year-end to 10%. "Although US export controls present short-term challenges, NVIDIA is still expected to benefit from increased corporate and consumer spending on artificial intelligence. The competition between China and the United States in this field will be a key focus over the next few years," he noted.
Year-to-date performance shows Meta’s stock price has fallen by 14.35%, Microsoft's by 12.74%, while Nvidia Corp.’s dropped by 24.42%.
(Transliteration authorized by MoneyDJ News; Image source: Shutterstock)