Portfolio & Performance

ISIN GB0003390720
SEDOL 0339072

Share Price is the price of a single ordinary share, as determined by the stock market. The share price above is the mid-market price at market close.
Share Price

Net Asset Value (NAV) per Share is calculated as available shareholders’ funds divided by the number of shares in issue, with shareholders’ funds taken to be the net value of all the company’s assets after deducting liabilities. The NAV figure above is based on the fair/market value of the company’s long-term debt and preference shares (known as debt at market value). This allows for the valuation of long-term debt and preference shares at fair value or current market price, rather than at final repayment value (known as debt at par).
NAV per Share

Premium/Discount. Since investment company shares are traded on a stock market, the share price that you get may be higher or lower than the NAV. The difference is known as a premium or discount.

Dividend Yield is calculated using the latest full year dividend divided by the current share price. Allianz Technology Trust does not currently pay a dividend.
Dividend Yield

Data source DataStream and Allianz Global Investors as at 17.01.2019 based on market close mid price.

Awards & Ratings

Investment Week Investment Company of the Year Award 2018, Specialist category: Allianz Technology Trust won this coveted award in November 2018, having also been victorious in 2017 and 2015. This award recognises excellence in closed-ended fund management and highlights ATT’s consistent performance over time. The judging panel was made up of some of the UK's leading researchers and investors in investment trusts and closed-ended companies, as well as several senior board members with many years' experience in the industry.
Investors Chronicle Top 100 Fund: Allianz Technology Trust has been chosen as one of the ‘Investors Chronicle Top 100 Funds’, for the sixth consecutive year. From almost 3,000 eligible actively-managed funds, ATT’s selection is based on its performance history relative to risk, fees, tenure of manager and consistency of returns.
AIC Shareholder Communication Award, Best Specialist Report and Accounts 2018: The independent judging panel commented on the report’s excellent use of pictures as well as its use of text and design in a creative way. The judges also described the ‘Insights’ section in the report, explaining the technology sectors it invests in, as “simply superb”. These awards celebrate those AIC member investment trusts and their managers who are providing clear, meaningful information to shareholders in an imaginative way.
Citywire's AA fund manager rating 2018: Citywire is the only firm to exclusively rate managers, not funds. The manager’s track record is scrutinised with a methodology approved by an independent actuary. The ratings take account of a three-year performance record and is updated every month. It is entirely quantitative with the analysis being based on the information ratio, a recognised measure of risk-adjusted performance. It also takes into account career moves and all the funds a manager runs. In order to be rated, a fund manager will need to beat his or her benchmark over a three-year period. A benchmark is often the relevant stock market index. Fewer than 25% of fund managers tracked by Citywire will actually achieve this.
Morningstar Rating: Allianz Technology Trust has a 5 star rating with Morningstar. This is a risk-adjusted, cost-adjusted comparison of fund performance within fund categories. The underlying methodology is robust and accounts for periods of volatility-downward volatility in particular-and also adjusts for fund expenses, including sales charges. That means the more expensive the fund is, the harder it will be for the fund to earn a high star rating.
Money Observer Rated Fund 2018: Allianz Technology Trust has been included in Money Observer’s Rated Funds list for 2018. The list recognises open-ended funds and close-ended investment companies that have demonstrated consistent outperformance or that have been chosen as ideal routes into specific markets and sectors, reflecting the current investment environment.
Best Investment Trust for The Online Personal Wealth Awards: We are pleased to announce that the trust has been selected as Best Investment Trust for 2018 again by the users of MoneyAM. The trust was previously selected in 2017 too.
© 2018 Morningstar. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.


The data shown is not constant over time and the allocation may change in the future. Totals may not sum to 100.0% due to rounding. All data source Allianz Global Investors unless otherwise stated.

Top 10 Holdings (%)

Alphabet - A shares
Paycom Software

Data as of 30.11.2018

Geographic Breakdown (%)

North America 87.1
Europe ex UK 5.6
UK 3.6
Far East & Pacific 0.2
Cash 3.5

Data as of 30.11.2018

Sector Breakdown (%)

Consumer Services
Consumer Goods

Data as of 30.11.2018

Market Cap Breakdown (%)

Over US $100bn 29.5
US $10bn to 100bn 28.3
US $1bn to 10bn 38.4
Under US $1bn 0.3
Cash 3.5

Data as of 30.11.2018

Fund Manager Comments

Portfolio Overview

The Trust’s NAV fell very slightly (-0.1%) in November, outperforming the Dow Jones World Technology Index return of -0.4%. During the month, stock selection had a modest impact and industry allocation contributed to relative performance.

Our position in Twilio was a top contributor during the period. The company provides a cloud-based platform that enables developers to build, scale, and operate real-time communications within software applications as a pay-as-you-go service. Twilio’s platform is being increasingly leveraged by companies that are building AI applications to enable them to design more intimate, real-time interactions with their customers. Shares surged during the period after the company reported 68% year-on-year revenue growth marking acceleration from prior quarters. We believe these results demonstrate that the company has extended its lead in the communications platform-as-a-service market driven by differentiated solutions and strong developer relationships.

Our position in Workday was also a top contributor. The company reported strong quarterly financial results across the board with the core human capital management (HCM) and Financials businesses showing solid acceleration in growth. Workday is one of the largest and fastest growing providers of HCM software solutions, delivered via a Software-as-a-Service model. HCM suites not only automate core Human Resource (HR) functions such as personnel records, benefits administration, and compensation but can also offer workforce management, recruiting, compliance, learning management, workforce performance, and compensation management. 30% of Fortune 500 companies are now using Workday’s core HCM offering. Workday has a very large established market and this market appears to be expanding with the development of its pipeline in Financials.

Other top active contributors included an underweight position in Apple and overweight positions in Amazon.com and Tableau Software.

Storage and data management solutions provider NetApp was the top detractor from relative performance during the period. The company reported solid quarterly financial results, but investors were disappointed that overall revenue came in at the low end of management’s guidance. For the upcoming quarter, management’s guidance was in line with expectations, and the company continues to return its free cash flow to shareholders through stock buybacks. NetApp continues to effectively rationalise costs and streamline the business, while benefitting from a base of highly recurring maintenance revenue streams. We believe the company may also benefit from demand for its all-flash arrays (storage infrastructure), market share gains, a better IT spending environment, and its growing cloud data services business.

Our underweight position in Microsoft also detracted from relative performance. Shares continued to outperform following the company’s most recent quarterly financial results that beat expectations on revenue, earnings and cash flows, with the Azure cloud computing service growing +76% year-on-year. At the current pace of growth, it is likely that Microsoft’s cloud business alone could become one of the largest technology platforms in the world. Moreover, the company has done this while executing a financial plan that has been very disciplined. Microsoft has been investing in data centers and developing partnerships to boost sales of its main cloud products, which appear to be paying off for the company. We are underweight relative to the benchmark’s large position in the stock. Our exposure to the cloud and Artificial Intelligence (AI) themes is spread across multiple companies in the portfolio, as we believe this approach offers a more attractive risk/reward profile.

Other top active detractors included underweight positions in Tencent and Alibaba and an overweight position in Take-Two Interactive.

Market Outlook

Despite the recent market volatility, our view is that technology is well-positioned to remain a major driver of market returns. The combination of solid global economic growth, strong corporate earnings, domestic tax cuts in the US, and the ongoing digital transformation among corporations should continue to drive growth in IT spending. Feedback from our discussions with company management teams, as well as management surveys from multiple sources, indicate that companies across the economy are turning to technology solutions to increase revenue, improve productivity, and enhance operating efficiency. While the largest technology companies today will inevitably struggle to grow as rapidly in the future, the broad technology sector should continue to see attractive growth in the future.

Despite high valuations for some cloud and internet companies, we continue to see massive addressable markets much larger than the revenue today. However, we have consolidated our exposure to these areas in select companies having the most compelling solutions and whose business models demonstrate a discernible path to deliver strong earnings and cash flow growth over the next few years.

We are also finding excellent investment opportunities among more attractively valued areas of technology. In particular, certain technology incumbents are making compelling progress on their “as-a-service” offerings.

AI is also becoming a significant trend. From consumer goods, such as the Amazon Echo, to autonomous driving, practical applications of AI are emerging. We expect AI will increasingly be used to make our lives more convenient.

We will continue carefully balancing risks and opportunities, leveraging our industry expertise, and emphasizing individual stock selection.

Walter Price 10 December 2018

Our exposure to the cloud and Artificial Intelligence (AI) themes is spread across multiple companies in the portfolio, as we believe this approach offers a more attractive risk/reward profile.

This is no recommendation or solicitation to buy or sell any particular security.


Performance (%)

Select period:

    Cumulative Returns (%)

    3M 6M 1Y 3Y 5Y
    Share Price -18.4 -5.7 10.8 110.4 157.3
    NAV -12.6 -1.6 16.5 103.5 164.7
    Benchmark -9.5 -2.5 8.0 87.0 154.8

    Source: Thomson Reuters DataStream, percentage growth, mid to mid, total return to 30.11.2018.1

    Discrete 12 Month Returns (%)

    2018 2017 2016 2015 2014
    Share Price 10.8 50.2 26.4 9.6 11.5
    NAV 16.5 41.0 23.8 10.3 18.0
    Benchmark 8.0 31.5 31.7 7.0 27.3

    Source: Thomson Reuters DataStream, percentage growth, mid to mid, total return to 30.11.2018.1

    1Past performance is not a reliable indicator of future returns. You should not make any assumptions on the future on the basis of performance information. The value of an investment and the income from it can fall as well as rise as a result of market fluctuations and you may not get back the amount originally invested.

    Copyright 2018 © DataStream, a Thomson Reuters company. All rights reserved. DataStream shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

    © Allianz Global Investors GmbH 2019, Registered Office: Frankfurt am Main, Register: HRB 9340, Local court: Frankfurt am Main. All Rights Reserved. Allianz Technology Trust PLC is incorporated in England and Wales. (Company registration no. 3117355). Registered Office: 199 Bishopsgate, London, EC2M 3TY. VAT registration no. 678 1784 81. The Company is a member of the Association of Investment Companies - Category: Sector Specialists - Technology, Media & Telecoms.