
Baron Technology Fund
Symbol BTEUXCUSIP: 06828M553
Symbol BTEUXCUSIP: 06828M553
SCT
SectorNav
$14.36
Daily Change $0.21 (1.48%)
As of 02/10/2025
As of 02/10/2025
Net Assets
$55.98 M
As of 12/31/2024
Morningstar Rating™
As of 12/31/2024
Morningstar Medalist Rating™
GOLD
Inception date
12/31/2021
Prices & Performance
PricesAs of 02/10/2025
NAV | Daily Change ($) | Daily Change (%) | MTD | QTD | YTD |
---|---|---|---|---|---|
$14.36 | $0.21 | 1.48% | 3.46% | 7.00% | 7.00% |
NAV | $14.36 |
---|---|
Daily Change ($) | $0.21 |
Daily Change (%) | 1.48% |
MTD | 3.46% |
QTD | 7.00% |
YTD | 7.00% |
PerformanceAs of 12/31/2024
Portfolio or Index | QTD1 | YTD1 | 1 Year | 3 Years | Since Inception 12/31/2021 |
---|---|---|---|---|---|
BTEUX - Baron Technology Fund - R6 | 15.79% | 47.80% | 47.80% | 10.30% | 10.30% |
MSCI ACWI Information Technology Index | 4.28% | 31.59% | 31.59% | 11.06% | 11.06% |
S&P 500 Index | 2.41% | 25.02% | 25.02% | 8.94% | 8.94% |
MSCI ACWI Index | -0.99% | 17.49% | 17.49% | 5.44% | 5.44% |
Performance InformationAs of 12/31/2024
Performance statistics | 3 Years |
---|---|
Standard Deviation (%) | 26.97 |
Sharpe Ratio | 0.23 |
Alpha (%) | -0.66 |
Beta | 1.06 |
R-Squared (%) | 85.45 |
Tracking Error (%) | 10.38 |
Information Ratio | -0.07 |
Upside Capture (%) | 107.56 |
Downside Capture (%) | 112.12 |
Portfolio Holdings & Characteristics
HoldingsAs of 01/31/2025
Holding | Sector | % of Net Assets | |
---|---|---|---|
Amazon.com, Inc. Amazon.com, Inc. (AMZN) is an e-commerce pioneer, innovator, and market share leader with a relentless focus on providing value and convenience to its customers. Amazon also operates the industry-leading cloud infrastructure business Amazon Web Services (AWS). Amazon's market share of U.S. online retail sales is around 40%, while its share of global retail sales is less than 5%. Amazon has many avenues for revenue growth, including consumer staples, apparel, international expansion, digital media offerings, private label, pharmacy services, advertising, and a better shopping experience powered by generative AI. Amazon also represents an opportunity to invest in the secular growth of cloud computing through AWS, a large, growing, margin-accretive part of the business. | Consumer Discretionary | 9.8% | |
NVIDIA Corporation NVIDIA Corporation (NVDA) sells semiconductors, systems, and software for accelerated computing, gaming, and generative AI (GenAI). Computing demand has been doubling every one to two years, driven by electrification, digitization, and recent advancements in AI, yet supply growth has decelerated dramatically due to the slowdown in Moore's law. NVIDIA’s accelerated computing architecture enables continued growth in supply of computing through parallelization. We are at the tipping point of a new era in computing, with NVIDIA at its epicenter as GenAI adoption grows. Given its leading market share in gaming, data centers, and autonomous machines, we believe NVIDIA can grow rapidly for years to come. | Information Technology | 7.8% | |
Microsoft Corporation Microsoft Corporation (MSFT) is a software company traditionally known for its Windows and Office products. Over the last five years, it has built a $120 billion-plus annual cloud business, including Office 365, CRM product Dynamics 365, and infrastructure-as-a-service product Azure. Over the past decade, Microsoft has transformed itself, refocusing the business on cloud computing and AI. Microsoft's commercial cloud business now represents over 56% of revenue and is growing around 25% year-on-year. Its moat is built on the wide reach of its sales channel, its diverse platform of software offerings, its hybrid cloud capabilities, and the high costs of switching away from its solutions, which tend to be mission critical for customers. We believe Microsoft will benefit from the growing adoption of cloud for years to come. | Information Technology | 6.8% | |
Broadcom Inc. Broadcom Inc. (AVGO) designs, develops, and supplies a wide range of semiconductor and infrastructure software solutions. Its semiconductor devices serve broadband, networking, wireless, storage, and industrial markets, while its software offerings focus on operational efficiency tools for large enterprises. Broadcom’s semiconductor portfolio is reaching an inflection point, driven by its AI solutions in networking and custom compute. We expect Broadcom to tap into most of the $75 billion total addressable market in AI across its three largest customers by 2027 and to grow VMware at a high-teens rate over the next few years. The rest of Broadcom’s semiconductor business is recovering, and we expect other software segments to grow at a mid-single-digit rate. The company has best-in-class margins and cash flow, which it returns to shareholders. | Information Technology | 6.2% | |
Spotify Technology S.A. Spotify Technology S.A. (SPOT) is the world's leading music streaming service, with approximately 40% market share. The company monetizes through several tiers of subscriptions, advertising, and miscellaneous a la carte pricing. With over 252 million paying subscribers, Spotify has created a two-sided marketplace where creators can monetize their work and consumers can stream music. Longer term, we expect the company to grow to over 1 billion subscribers (from 640 million today) and improve margins materially through advertising, its artist promotions marketplace, and improved cost discipline. On the product side, we expect Spotify to continually improve its value proposition through additional features and expansion into adjacencies such as audiobooks. | Communication Services | 6.2% | |
Apple Inc. Apple Inc. (AAPL) designs, manufactures, and markets consumer electronics, computer software, and online services. Its products include the iPhone, iPad, Mac personal computer, Apple smartwatch, Apple TV, and HomePod. It also offers advertising and app discovery services through its App Store. As the creator and owner of one of the largest and most popular consumer electronics platforms, Apple, in our view, is well positioned to benefit from the network effect that typically accrues to platform companies. It has a large and growing ecosystem, a trusted brand, and positive optionality through leveraging its large installed base to expand into additional consumer and enterprise services. We believe Apple trades at a discount to our estimate of its intrinsic value, with capital return and growth alleviating near-term trade and iPhone demand uncertainty. | Information Technology | 5.1% | |
Taiwan Semiconductor Manufacturing Company Limited Taiwan Semiconductor Manufacturing Company Limited (2330.TT) is the world's largest independent semiconductor foundry, manufacturing chips on behalf of other companies. TSMC is the dominant force in leading-edge semiconductor foundry manufacturing, as it benefits from economies of scale and a superior cost structure. Its successful track record of deploying new technology faster than competitors enables it to maintain its market share and pricing power. We believe TSMC’s investments in advanced nodes will solidify its superior market positioning and profitability in the long run. | Information Technology | 4.5% | |
Arista Networks, Inc. Arista Networks, Inc. (ANET) is a supplier of cloud networking solutions for both front-end and back-end infrastructure, using software innovations to meet the needs of large-scale internet companies, cloud service providers, and next-generation data centers for enterprises. Arista is a key beneficiary of the AI infrastructure buildout, with NVIDIA as its only competitor in back-end networking. Additionally, Arista is gaining market share from legacy vendors like Cisco and Juniper. Its switch systems are built from the ground up to address large-scale compute infrastructure, offering better scalability and performance. Arista is a management-owned company with some of the industry’s top networking talent, which positions it well to continue penetrating new accounts as companies transition to the cloud era. | Information Technology | 4.0% | |
Tesla, Inc. Tesla, Inc. (TSLA) manufactures electric vehicles, including a luxury sedan and CUV (S/X), a mid-sized luxury sedan and hatchback (3/Y), and pickup and semi-trucks. It is also ramping up internal battery cell production, energy solutions, and software offerings such as full self-driving and insurance. We expect Tesla will continue to grow its automotive business through international production capacity and product expansion. Tesla's vertical integration, technology innovation, brand, profitability, and growing supplier support offer unique and durable growth opportunities that are hard to replicate. In addition, Tesla's energy and software expertise is broadening the industrial opportunity to large and profitable revenue avenues that were previously locked in the legacy vehicle architecture, such as autonomous driving, robotics, insurance, and other AI use cases. | Consumer Discretionary | 3.5% | |
Duolingo, Inc. Duolingo, Inc. (DUOL) is the top language learning app in the world, with over 100 million monthly active users. It is known for its effective use of gamification and high engagement levels. Duolingo is the clear leader in online language learning, with strong user growth and engagement thanks to its freemium model and gamified approach. We think Duolingo can become an important tool for the nearly 2 billion people worldwide learning a language, especially with its advanced English courses and AI tier that allows users to practice real-world conversation skills. We believe user growth, monetization, and profitability still have significant potential as Duolingo leverages its large total addressable market. | Consumer Discretionary | 2.8% | |
Total Total | 56.8% |
Top Ten Fund Holdings based on net assets. Portfolio holdings may change over time.
Portfolio holdings are subject to change. Current and future portfolio holdings are subject to risk.
Portfolio holdings are subject to change. Current and future portfolio holdings are subject to risk.
Contributors / DetractorsQuarterly as of 12/31/2024
Top Contributors | Average Weight | Contribution |
---|---|---|
Reddit, Inc. | 2.23% | 2.47% |
Amazon.com, Inc. | 9.07% | 1.57% |
Broadcom Inc. | 5.05% | 1.56% |
NVIDIA Corporation | 9.88% | 1.52% |
Tesla, Inc. | 3.35% | 1.50% |
Source: FactSet PA.
GICS Sector BreakdownAs of 01/31/2025
Sector
Information Technology
64.7%
Consumer Discretionary
18.3%
Communication Services
10.4%
Industrials
2.5%
Real Estate
1.6%
Consumer Staples
1.2%
Financials
1.0%
Cash & Cash Equivalents
0.3%
Sub-Industry
01/31/2025Semiconductors21.40%
Systems Software13.70%
Broadline Retail 9.80%
Application Software8.70%
Movies & Entertainment6.20%
Technology Hardware, Storage & Peripherals5.10%
Communications Equipment4.00%
Internet Services & Infrastructure3.60%
Electronic Equipment & Instruments3.60%
Automobile Manufacturers3.50%
Semiconductor Materials & Equipment 3.20%
Education Services2.80%
Interactive Media & Services2.40%
Advertising1.80%
Aerospace & Defense1.60%
04812162024
Semiconductors21.40%
Systems Software13.70%
Broadline Retail 9.80%
Application Software8.70%
Movies & Entertainment6.20%
Technology Hardware, Storage & Peripherals5.10%
Communications Equipment4.00%
Internet Services & Infrastructure3.60%
Electronic Equipment & Instruments3.60%
Automobile Manufacturers3.50%
Semiconductor Materials & Equipment 3.20%
Education Services2.80%
Interactive Media & Services2.40%
Advertising1.80%
Aerospace & Defense1.60%
04812162024
Portfolio CharacteristicsAs of 12/31/2024
Description | Baron Technology Fund | MSCI ACWI Information Technology Index |
---|---|---|
Inception Date | December 31, 2021 | |
Net Assets | $55.98 million | |
# of Issuers / % of Net Assets | 42 / 97.5% | |
Turnover (3 Year Average) | 27.93% | |
Active Share | 62.5% | |
Median Market Cap | $37.23 billion | $13.73 billion |
Weighted Average Market Cap | $1.21 trillion | $1.87 trillion |
R6 Shares | ||
CUSIP | 06828M553 | |
Gross Expense Ratio | 3.80% | |
Net Expense Ratio | 0.95% | |
Current Expense Ratio Date | 12/31/2023 | |
EPS Growth (3-5 year forecast) | 20.4% | 19.7% |
Price/Earnings Ratio (trailing 12-month) | 45.0 | 35.3 |
Price/Book Ratio | 8.5 | 5.6 |
Price/Sales Ratio | 8.1 | 6.3 |
The Net Assets include all share classes combined.
Price/Book Ratio and Price/Sales Ratio are calculated using the Weighted Harmonic Average. Source: FactSet PA. Internal valuation metrics may differ.
Price/Book Ratio and Price/Sales Ratio are calculated using the Weighted Harmonic Average. Source: FactSet PA. Internal valuation metrics may differ.