The Blue Whale Growth Fund, supported by UK billionaire Peter Hargreaves, has sold its entire stake in Meta Platforms (META, Financial). Concerns over a potential global economic slowdown following tariffs imposed by former President Trump prompted this decision. Fund manager Stephen Yiu explained that the risk of a slowdown could adversely affect Meta's digital advertising business.
The Blue Whale Growth Fund manages assets worth £1.1 billion, with technology stocks comprising nearly 40% of its portfolio. Meta constituted about 3% of this portfolio. Additionally, Yiu revealed that the fund has also completely divested from Microsoft over concerns regarding its significant investments in artificial intelligence, which might soon surpass its cash inflows.
Conversely, Yiu has increased the fund’s holdings in Nvidia. Seizing the opportunity presented by weaker share prices, the fund's stake in Nvidia has been raised from 7% at the end of last year to 10%.
