Allianz Technology Trust (ATT) is a highly differentiated trust offering exposure to technology stocks, with its managers seeking to capitalise on the winners of emerging trends within the sector. The trust’s allocation is spread across a range of market caps, with a current overweight to mid-caps compared to its mega-cap-dominated benchmark. COVID-19 has created a turbulent yet positive period for the technology sector, accelerating the adaption of several trends with examples including working-from-home software and automation (as discussed in the Portfolio section). The team see COVID-19 as having reinforced the dominance of the sectoral winners, with companies which were not able to adapt to the pandemic falling further behind. That being said, having been well positioned going into the pandemic, the team are happy with the current allocation of their portfolio and this is something that is reflected in their performance. They are instead looking more towards a post-COVID-19 world, upping their exposure to cyclical names while feeling increasingly bearish towards the mega-cap names. ATT has performed well so far during the pandemic, outperforming both its benchmark and its closest peer. As we detail in the Performance section, over the last five years ATT has generated an NAV return of 321% against the 235.7% return of the benchmark. Over 2020 so far, ATT has generated impressive absolute NAV returns of 70.7% (as at 04/12/2020). ATT’s share price has largely traded at a premium over the year, apart from the short moment of volatility during the COVID-19 crash which is detailed further in the Discount section. ATT currently trades at a 0.6% premium and continues to be a net issuer of shares.
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Allianz Technology - Overview
Allianz Technology Trust (ATT) is a highly differentiated trust offering exposure to technology stocks, with its managers seeking to capitalise on the winners of emerging trends within the sector. The trust’s allocation is spread across a range of market caps, with a current overweight to mid-caps compared to its mega-cap-dominated benchmark. COVID-19 has created a turbulent yet positive period for the technology sector, accelerating the adaption of several trends with examples including working-from-home software and automation (as discussed in the Portfolio section). The team see COVID-19 as having reinforced the dominance of the sectoral winners, with companies which were not able to adapt to the pandemic falling further behind. That being said, having been well positioned going into the pandemic, the team are happy with the current allocation of their portfolio and this is something that is reflected in their performance. They are instead looking more towards a post-COVID-19 world, upping their exposure to cyclical names while feeling increasingly bearish towards the mega-cap names. ATT has performed well so far during the pandemic, outperforming both its benchmark and its closest peer. As we detail in the Performance section, over the last five years ATT has generated an NAV return of 321% against the 235.7% return of the benchmark. Over 2020 so far, ATT has generated impressive absolute NAV returns of 70.7% (as at 04/12/2020). ATT’s share price has largely traded at a premium over the year, apart from the short moment of volatility during the COVID-19 crash which is detailed further in the Discount section. ATT currently trades at a 0.6% premium and continues to be a net issuer of shares.