Alger Spectra Fund

Investor Summary

The Alger Spectra Fund is managed by a seasoned team led by Patrick Kelly, CFA, who has served as lead portfolio manager since 2004 with over 17 years of tenure managing the fund. Kelly is joined by Ankur Crawford, Ph.D., who has been a portfolio manager since 2015 and has been recognized as a top woman in asset management for her analytical expertise and investment acumen. Daniel Chung serves as the third portfolio manager since 2021 and also holds the position of CEO of Fred Alger Management, bringing executive leadership perspective to the investment process. The management team operates within Fred Alger Management, LLC, a firm founded in October 1964 that has maintained its independence as a privately-owned investment advisory firm for over 60 years.

Fund Strategy

The Alger Spectra Fund follows Fred Alger Management's core investment philosophy focused on companies undergoing 'Positive Dynamic Change.' This approach targets companies demonstrating either high unit volume growth or positive life cycle changes driven by catalysts such as new management, innovation, or market disruption. The investment process is built on independent, bottom-up fundamental research conducted by sector-specialist analysts. The firm utilizes proprietary analytical tools including the Alger Rating System and the Alger Psych Line to evaluate companies based on revenue growth, earnings power, market dominance, and balance sheet strength. ESG factors are integrated into the investment process, with at least 75% of assets undergoing ESG review. The fund maintains concentrated positions in its highest-conviction ideas, with top 10 holdings typically representing 66-68% of total assets. This concentrated approach reflects the management team's confidence in their research-driven stock selection process. The strategy emphasizes long-term growth potential while maintaining an active trading approach with portfolio turnover ranging from 51% to over 100%. The fund targets large-cap growth companies primarily in the U.S. market, with technology and consumer sectors representing significant allocations.

ANNUALIZED SINCE INCEPTION	QUARTERLY	YTD
15.67%	-10.92%	-10.92%

Executive Summary

The Alger Spectra Fund declined 10.92% in Q1 2026, underperforming the Russell 3000 Growth Index's 9.54% decline amid market turbulence from two key forces. First, the emergence of agentic AI tools raised questions about traditional software business models, triggering technology sector sell-offs. Second, the U.S.-Iran conflict and Strait of Hormuz closure sent oil prices above $100, complicating Fed rate policy. Despite volatility, the fund maintains conviction in companies enabling AI's agentic phase, where systems autonomously execute tasks beyond generating answers. This shift accelerates compute demand, driving growth across the data center ecosystem. Top contributors included GE Vernova, benefiting from energy transition and AI power demand; Western Digital, leveraging hyperscaler data center investment; and Nebius Group, a specialized AI infrastructure provider. Microsoft, AppLovin, and NVIDIA detracted despite strong fundamentals, reflecting broader investor anxiety about AI capital spending sustainability. The fund sees continued opportunity in AI enablers and data center infrastructure companies.

Forward Outlook

The fund continues to see opportunity in companies enabling and adopting AI technology as it enters the agentic phase, particularly those supporting the data center ecosystem. They expect the equity market's focus will likely be on which industries and companies may be disrupted by AI progress.

Date	Letter	Tickers	Keywords	Pitches	Quick Takes
Apr 29 2026	2026 Q1	APP, GEV, MSFT, NVDA, WDC	AI, Cloud, Data centers, energy, growth, software, technology	GEV WDC NBIS MSFT APP NVDA	Alger Spectra declined 10.92% in Q1 2026 amid AI disruption concerns and geopolitical oil shocks. The fund maintains conviction in companies enabling agentic AI and data center infrastructure. GE Vernova, Western Digital, and Nebius contributed positively, while Microsoft, AppLovin, and NVIDIA detracted despite strong results due to broader AI spending sustainability concerns.
Jan 15 2026	2025 Q4	CDTX, GOOGL, META, MRK, MSFT, NBIS, NTRA	AI, Biotechnology, Cloud, Communication, growth, healthcare, technology	GOOGL NTRA CIDM NBIS MSFT META	Alger Spectra underperformed in Q4 2025 despite strong secular themes. AI infrastructure faced scrutiny over financing and returns, pressuring holdings like Nebius and Meta. Winners included Alphabet's improving AI execution and Natera's diagnostic strength. Managers remain constructive on digitization, cloud growth, and AI inflection despite near-term volatility and capacity constraints.
Oct 14 2025	2025 Q3	APP, ISRG, JHX, MSFT, NFLX, NVDA	AI, Cloud, Communication Services, Data centers, growth, semiconductors, technology	APP NVDA	Alger Spectra delivered 15.97% in Q3 2025, driven by AI and cloud computing themes. Top contributors AppLovin and Nvidia benefited from AI adoption acceleration and data center demand. The fund sees AI at an inflection point enabling productivity gains, with U.S. business spending accelerating from infrastructure demand and tax incentives. Portfolio positioned for secular technology transformation.
Jul 22 2025	2025 Q2	APP, ISRG, JHX, MSFT, NBIS, NFLX, NVDA	AI, Cloud, digital transformation, Fed policy, growth, Rate Cuts, semiconductors, technology	NVDA MSFT META AAPL UNH GLOB APP NVDA NBIS	Alger Spectra Fund returned 15.97% in Q3 2025, outperforming benchmarks through concentrated exposure to AI and cloud infrastructure leaders. Key winners included AppLovin, NVIDIA, and Nebius, all benefiting from accelerating AI adoption. The fund capitalizes on secular technology trends, supportive Fed policy, and business investment incentives while maintaining focus on growth companies with competitive advantages in digital transformation.
Mar 31 2025	2025 Q1	AMZN, GFL, HEI, MSFT, NVDA, SPOT	AI, Cloud, growth, semiconductors, Streaming, technology, Trade Policy	HEI SPOT GFL NVDA MSFT AMZN	Alger Spectra Fund faced headwinds in Q1 2025 from trade policy uncertainty and AI competitive concerns, underperforming despite strong secular themes. While major tech holdings like NVIDIA and Microsoft detracted, aerospace parts supplier HEICO, streaming leader Spotify, and waste management company GFL contributed positively. The fund maintains conviction in AI, cloud computing, and corporate digitization trends.
Dec 31 2024	2024 Q4	AMZN, APP, LLY, MELI, MSFT, NVDA	AI, Cloud, E-Commerce, growth, healthcare, semiconductors, technology	APP NVDA AMZN MSFT LLY MELI	Alger Spectra delivered 11.46% in Q4, outperforming on concentrated bets in AI and cloud leaders. AppLovin, NVIDIA, and Amazon drove performance through AI-powered growth and infrastructure demand. The fund capitalizes on secular digitization themes while managing risks from rising yields and Fed policy shifts. Strong positioning in transformative technology trends continues.
Sep 30 2024	2024 Q3	APP, GOOGL, MELI, META, MSFT, PINS	Advertising, AI, Cloud, E-Commerce, growth, Social Media, technology	APP META MELI MSFT GOOGL PINS	Alger Spectra slightly underperformed in Q3 2024 despite Fed rate cuts supporting growth stocks. AI-powered companies like Meta and AppLovin drove outperformance through enhanced monetization and network effects. However, concerns about AI capital expenditure returns weighed on Microsoft and Alphabet. The fund maintains focus on secular digitization themes while navigating market skepticism around AI investment payoffs.
Aug 2 2024	2024 Q2	AMD, AMZN, DKNG, MLM, MSFT, NVDA	AI, Cloud, growth, large cap, semiconductors, technology	NVDA AMZN MSFT AMD DKNG MLM	Alger Spectra Fund outperformed in Q2 2024, led by AI and cloud leaders NVIDIA, Microsoft, and Amazon. The fund targets U.S. growth companies benefiting from corporate digitization and AI adoption. Strong data center demand and accelerating cloud growth drove performance, while the managers see continued opportunities in technological transformation and productivity enhancement.
Apr 15 2024	2024 Q1	-	-	-
Dec 31 2023	2023 Q4	-	-	-
Nov 10 2023	2023 Q3	-	-	-
May 24 2023	2023 Q1	-	-	-
Mar 2 2023	2022 Q4	ABBV, AMZN, DDOG, NFLX, TDG, TSLA	-	-
Dec 31 2022	2022 Q3	AMZN, GOOG, MSFT, NTRA, TSLA	-	-
Jul 11 2022	2022 Q1	AMZN, GOOG, MSFT, NTRA, TSLA	-	-

Date

Letter

Tickers

Keywords

Pitches

Quick Takes

Apr 29 2026

2026 Q1

APP, GEV, MSFT, NVDA, WDC

AI, Cloud, Data centers, energy, growth, software, technology

GEV
WDC
NBIS
MSFT
APP
NVDA

Alger Spectra declined 10.92% in Q1 2026 amid AI disruption concerns and geopolitical oil shocks. The fund maintains conviction in companies enabling agentic AI and data center infrastructure. GE Vernova, Western Digital, and Nebius contributed positively, while Microsoft, AppLovin, and NVIDIA detracted despite strong results due to broader AI spending sustainability concerns.

Jan 15 2026

2025 Q4

CDTX, GOOGL, META, MRK, MSFT, NBIS, NTRA

AI, Biotechnology, Cloud, Communication, growth, healthcare, technology

GOOGL
NTRA
CIDM
NBIS
MSFT
META

Alger Spectra underperformed in Q4 2025 despite strong secular themes. AI infrastructure faced scrutiny over financing and returns, pressuring holdings like Nebius and Meta. Winners included Alphabet's improving AI execution and Natera's diagnostic strength. Managers remain constructive on digitization, cloud growth, and AI inflection despite near-term volatility and capacity constraints.

Oct 14 2025

2025 Q3

APP, ISRG, JHX, MSFT, NFLX, NVDA

AI, Cloud, Communication Services, Data centers, growth, semiconductors, technology

APP
NVDA

Alger Spectra delivered 15.97% in Q3 2025, driven by AI and cloud computing themes. Top contributors AppLovin and Nvidia benefited from AI adoption acceleration and data center demand. The fund sees AI at an inflection point enabling productivity gains, with U.S. business spending accelerating from infrastructure demand and tax incentives. Portfolio positioned for secular technology transformation.

Jul 22 2025

2025 Q2

APP, ISRG, JHX, MSFT, NBIS, NFLX, NVDA

AI, Cloud, digital transformation, Fed policy, growth, Rate Cuts, semiconductors, technology

NVDA
MSFT
META
AAPL
UNH
GLOB
APP
NVDA
NBIS

Alger Spectra Fund returned 15.97% in Q3 2025, outperforming benchmarks through concentrated exposure to AI and cloud infrastructure leaders. Key winners included AppLovin, NVIDIA, and Nebius, all benefiting from accelerating AI adoption. The fund capitalizes on secular technology trends, supportive Fed policy, and business investment incentives while maintaining focus on growth companies with competitive advantages in digital transformation.

Mar 31 2025

2025 Q1

AMZN, GFL, HEI, MSFT, NVDA, SPOT

AI, Cloud, growth, semiconductors, Streaming, technology, Trade Policy

HEI
SPOT
GFL
NVDA
MSFT
AMZN

Alger Spectra Fund faced headwinds in Q1 2025 from trade policy uncertainty and AI competitive concerns, underperforming despite strong secular themes. While major tech holdings like NVIDIA and Microsoft detracted, aerospace parts supplier HEICO, streaming leader Spotify, and waste management company GFL contributed positively. The fund maintains conviction in AI, cloud computing, and corporate digitization trends.

Dec 31 2024

2024 Q4

AMZN, APP, LLY, MELI, MSFT, NVDA

AI, Cloud, E-Commerce, growth, healthcare, semiconductors, technology

APP
NVDA
AMZN
MSFT
LLY
MELI

Alger Spectra delivered 11.46% in Q4, outperforming on concentrated bets in AI and cloud leaders. AppLovin, NVIDIA, and Amazon drove performance through AI-powered growth and infrastructure demand. The fund capitalizes on secular digitization themes while managing risks from rising yields and Fed policy shifts. Strong positioning in transformative technology trends continues.

Sep 30 2024

2024 Q3

APP, GOOGL, MELI, META, MSFT, PINS

Advertising, AI, Cloud, E-Commerce, growth, Social Media, technology

APP
META
MELI
MSFT
GOOGL
PINS

Alger Spectra slightly underperformed in Q3 2024 despite Fed rate cuts supporting growth stocks. AI-powered companies like Meta and AppLovin drove outperformance through enhanced monetization and network effects. However, concerns about AI capital expenditure returns weighed on Microsoft and Alphabet. The fund maintains focus on secular digitization themes while navigating market skepticism around AI investment payoffs.

Aug 2 2024

2024 Q2

AMD, AMZN, DKNG, MLM, MSFT, NVDA

AI, Cloud, growth, large cap, semiconductors, technology

NVDA
AMZN
MSFT
AMD
DKNG
MLM

Alger Spectra Fund outperformed in Q2 2024, led by AI and cloud leaders NVIDIA, Microsoft, and Amazon. The fund targets U.S. growth companies benefiting from corporate digitization and AI adoption. Strong data center demand and accelerating cloud growth drove performance, while the managers see continued opportunities in technological transformation and productivity enhancement.

Apr 15 2024

Dec 31 2023

Nov 10 2023

May 24 2023

Mar 2 2023

ABBV, AMZN, DDOG, NFLX, TDG, TSLA

Dec 31 2022

2022 Q3

AMZN, GOOG, MSFT, NTRA, TSLA

Jul 11 2022

2022 Q1

AMZN, GOOG, MSFT, NTRA, TSLA

QUARTER	THEMES	TAGS
2026 Q1	AI The fund sees opportunity in companies enabling and adopting AI as it enters the agentic phase, where systems move beyond generating answers to autonomously executing tasks. This shift is accelerating demand for compute capacity and driving growth across the data center ecosystem. However, the emergence of agentic AI tools has raised questions about the durability of traditional software business models.	Agentic Compute Software Disruption Infrastructure
	Data Centers Rising power demand driven by AI data centers is creating opportunities for companies that build, service, and power data centers. The fund believes this is driving growth across the ecosystem of companies supporting data center infrastructure. U.S. business spending is emerging as a more prominent driver of economic growth, supported by burgeoning demand for AI infrastructure.	Infrastructure Power Compute Capacity Growth
	Energy Transition The fund believes GE Vernova is uniquely positioned to benefit from the global energy transition and rising power demand driven by AI data centers. The company supports approximately a quarter of the world's electricity generation through gas and wind turbines, with record backlog providing visibility into long-term free cash flow potential.	Power Wind Electricity Transition Infrastructure
	Cloud The fund sees opportunities in specialized AI infrastructure companies providing GPU-accelerated cloud computing platforms. Western Digital benefits from rising hyperscaler data-center investment, with cloud representing the majority of its revenue. Microsoft's Azure cloud business faced some supply constraints but showed strong contract growth.	Infrastructure GPU Hyperscaler Computing Platform
2025 Q4	AI AI emergence has created market hysteria and broad software sell-offs despite limited real-world automation success. Manager believes dominant vertical software platforms can successfully reinvent themselves for an agentic world and fend off AI-native startups through domain expertise and mission-critical systems integration.	Artificial Intelligence Software Automation Technology
	Software Software sector treated as monolith awaiting AI disruption, but manager sees meaningful differentiation. Incumbents with engineering talent and proprietary data have structural advantages in deploying AI tools. Early adopters historically capture more economic benefits than infrastructure providers.	Enterprise Software SaaS Technology Digital Transformation
	Hotels Choice Hotels represents asset-light, high-margin opportunity trading at distressed multiples due to cyclical headwinds. Company shifting portfolio toward higher-revenue segments like Extended Stay and international markets while potentially unlocking $700M in balance sheet capital for share buybacks.	Hospitality Franchising Real Estate Travel
	Value Manager emphasizes focus on value-oriented special situations within principled investing framework. Notes irony that software holdings are cheaper than traditional value industrial exposure despite market perception. Advocates for drawing distinctions between situations despite surface similarities.	Value Investing Special Situations Contrarian
2025 Q3	AI AI is at an inflection point, potentially enabling significant increases in productivity. The fund sees AI as central to AppLovin's growth, driving a large majority of the company's revenue through its recommendation and targeting engine. Nvidia's computational power is viewed as a critical enabler of AI adoption, with surging demand for AI-focused chips and data center products.	Artificial Intelligence Machine Learning Data Centers Productivity Infrastructure
	Cloud Cloud computing is growing and supporting innovation, with corporations digitizing their operations. The fund observes robust demand for cloud and semiconductor products, with widespread adoption of advanced processors by cloud providers building AI infrastructure.	Cloud Computing Digital Transformation Infrastructure Enterprise Innovation
	Semiconductors The semiconductor sector is benefiting from AI adoption and data center demand. Nvidia delivered record revenue driven by surging demand for AI-focused chips, with the strongest growth from its data center segment and the ramp-up of next-generation Blackwell chips designed for complex AI workloads.	Chips Data Centers AI Hardware GPUs Processing
2025 Q2	AI AI is at an inflection point, potentially enabling significant increases in productivity. The fund sees AI as central to AppLovin's growth, driving a large majority of the company's revenue through its recommendation and targeting engine. Nvidia's computational power is viewed as a critical enabler of AI adoption, with surging demand for AI-focused chips and data center products.	Artificial Intelligence Machine Learning Data Centers Productivity Infrastructure
	Cloud Cloud computing is growing and supporting innovation, with corporations digitizing their operations. The fund observes widespread adoption of advanced processors by cloud providers building AI infrastructure. Microsoft's partnership with Nebius for dedicated GPU infrastructure to power AI services validates the growing cloud infrastructure ecosystem.	Cloud Computing Digital Transformation Infrastructure Enterprise Innovation
	Semiconductors The semiconductor sector showed strong performance driven by continued enthusiasm for AI and robust demand for semiconductor products. Nvidia delivered record revenue and earnings driven by surging demand for AI-focused chips, with strongest growth from its data center segment benefiting from widespread adoption of advanced processors.	Chips Data Centers AI Hardware GPUs Processing
2025 Q1	AI AI is at an inflection point with potential for significant productivity increases. However, concerns emerged about advanced AI models from China developed at lower costs, raising doubts about U.S. technology dominance. Future AI models will require substantially more computational resources, driving continued demand for high-performance infrastructure.	Artificial Intelligence Computing Productivity Infrastructure Models
	Cloud Cloud computing continues growing and supporting innovation as corporations digitize their operations. Microsoft's Azure revenue growth missed estimates for the third consecutive quarter, though AI-related sales growth exceeded expectations and accounted for 13% of Azure's quarterly growth.	Cloud Computing Azure Digitization Innovation Infrastructure
	Trade Policy The Trump administration announced significant tariff increases creating substantial investor uncertainty. Anticipated retaliatory measures from trading partners complicated business spending plans, and expected pass-through of tariff-related costs raised inflationary concerns, contributing to market volatility.	Tariffs Trade Tensions Inflation Policy Uncertainty
	Streaming Spotify demonstrated strong performance with better-than-expected results driven by user growth and margin improvement. The company's strategic use of AI through personalized features like AI Playlist and AI DJ, combined with expansion into various audio formats, positions it for sustained growth in the evolving digital audio market.	Digital Audio Subscriptions User Growth Personalization Content
2024 Q4	AI AI is at an inflection point, potentially enabling significant increases in productivity. AI is central to AppLovin's growth, driving a large majority of the company's revenue through its recommendation and targeting engine. Nvidia's computational power is a critical enabler of AI and therefore essential to AI adoption, with leadership in scaling AI infrastructure driving enterprise adoption.	Machine Learning Algorithms Data Analytics Productivity Enterprise
	Cloud Cloud computing is growing and supporting innovation. AWS revenue growth accelerated during the quarter with its highest-ever operating margin of 38.1%, driven by easing cloud cost optimizations, renewed workload migrations, and increasing contribution from AI workloads. Microsoft's Azure revenue grew 34% year-over-year with AI Services contributing 12% to Azure's growth.	Infrastructure Migration Optimization Workloads Services
	E-commerce MercadoLibre is Latin America's leading e-commerce and fintech platform, holding dominant positions across multiple countries. The company has successfully maintained and expanded its market share despite competition from global e-commerce players, leveraging strengths in customer data and distribution to drive growth in advertising and fintech segments.	Marketplace Fintech Network Effects Distribution Advertising
2024 Q3	AI AI is at an inflection point, potentially enabling significant increases in productivity. AppLovin leverages AI-powered software engine driving 60% of revenue through recommendation and targeting. Meta uses AI to enhance targeting, measurement, ranking, and ad delivery.	Machine Learning Algorithms Productivity Targeting Automation
	Cloud Cloud computing is growing and supporting innovation. Microsoft's Azure cloud segment reported weaker-than-expected revenue growth but AI contributed 7% to cloud growth, up from 6% last quarter.	Azure Infrastructure Computing Growth Innovation
	E-commerce MercadoLibre is Latin America's leading e-commerce platform with dominant positions across multiple countries. The company leverages network effects in e-commerce and logistics, with strong data and distribution advantages.	Marketplace Network Effects Digital Platform Latin America Logistics
	Social Media Meta operates the world's largest social network with over 3 billion monthly active users, generating 95% of revenue from advertising. Pinterest enables users to search and shop products with over 510 million global monthly active users.	Advertising User Engagement Monetization Platform Content
	Advertising AppLovin offers digital advertising platform for mobile app developers. Meta generates advertising revenue through improved targeting and ad delivery. Pinterest focuses on AI-driven product tools to improve campaign efficacy.	Ad Tech Monetization Digital Marketing Campaign Management Targeting
2024 Q2	AI AI is at an inflection point, potentially enabling significant increases in productivity. NVIDIA's computational power is a critical enabler of AI and therefore essential to AI adoption. Microsoft's Azure cloud business grew 31% with 7% AI-related growth, and most AI revenue stems from inference rather than training, indicating high quality AI applications.	Artificial Intelligence Machine Learning Data Centers GPUs Inference
	Cloud Cloud computing is growing and supporting innovation with corporations digitizing their operations. Amazon's AWS revenue growth accelerated driven by easing cloud cost optimizations, renewed workload migrations, and increasing contribution from AI workloads. Microsoft's Azure business demonstrates leadership in cloud services.	Cloud Computing AWS Azure Digital Transformation Infrastructure
	Data Centers Strong demand from data centers is driving NVIDIA's performance, with large cloud service providers contributing approximately 45% of data center sales. These providers recognize the high return on investment offered by NVIDIA's computing solutions, which are driving AI spending.	Data Centers Computing Infrastructure Cloud Providers GPU Demand AI Infrastructure
	Semiconductors NVIDIA introduced its next-generation H200 chip, which nearly doubles the inference performance compared to the H100 chip. AMD operates in a large addressable market covering PCs, servers, high-end gaming, and deep learning, with competitive AI technologies including powerful accelerators.	Semiconductors GPU AI Chips Computing Processing

QUARTER

THEMES

AI

The fund sees opportunity in companies enabling and adopting AI as it enters the agentic phase, where systems move beyond generating answers to autonomously executing tasks. This shift is accelerating demand for compute capacity and driving growth across the data center ecosystem. However, the emergence of agentic AI tools has raised questions about the durability of traditional software business models.

Agentic Compute Software Disruption Infrastructure

Data Centers

Rising power demand driven by AI data centers is creating opportunities for companies that build, service, and power data centers. The fund believes this is driving growth across the ecosystem of companies supporting data center infrastructure. U.S. business spending is emerging as a more prominent driver of economic growth, supported by burgeoning demand for AI infrastructure.

Infrastructure Power Compute Capacity Growth

Energy Transition

The fund believes GE Vernova is uniquely positioned to benefit from the global energy transition and rising power demand driven by AI data centers. The company supports approximately a quarter of the world's electricity generation through gas and wind turbines, with record backlog providing visibility into long-term free cash flow potential.

Power Wind Electricity Transition Infrastructure

Cloud

The fund sees opportunities in specialized AI infrastructure companies providing GPU-accelerated cloud computing platforms. Western Digital benefits from rising hyperscaler data-center investment, with cloud representing the majority of its revenue. Microsoft's Azure cloud business faced some supply constraints but showed strong contract growth.

Infrastructure GPU Hyperscaler Computing Platform

2025 Q4

AI

AI emergence has created market hysteria and broad software sell-offs despite limited real-world automation success. Manager believes dominant vertical software platforms can successfully reinvent themselves for an agentic world and fend off AI-native startups through domain expertise and mission-critical systems integration.

Artificial Intelligence Software Automation Technology

Software

Software sector treated as monolith awaiting AI disruption, but manager sees meaningful differentiation. Incumbents with engineering talent and proprietary data have structural advantages in deploying AI tools. Early adopters historically capture more economic benefits than infrastructure providers.

Enterprise Software SaaS Technology Digital Transformation

Hotels

Choice Hotels represents asset-light, high-margin opportunity trading at distressed multiples due to cyclical headwinds. Company shifting portfolio toward higher-revenue segments like Extended Stay and international markets while potentially unlocking $700M in balance sheet capital for share buybacks.

Hospitality Franchising Real Estate Travel

Value

Manager emphasizes focus on value-oriented special situations within principled investing framework. Notes irony that software holdings are cheaper than traditional value industrial exposure despite market perception. Advocates for drawing distinctions between situations despite surface similarities.

Value Investing Special Situations Contrarian

2025 Q3

AI

AI is at an inflection point, potentially enabling significant increases in productivity. The fund sees AI as central to AppLovin's growth, driving a large majority of the company's revenue through its recommendation and targeting engine. Nvidia's computational power is viewed as a critical enabler of AI adoption, with surging demand for AI-focused chips and data center products.

Artificial Intelligence Machine Learning Data Centers Productivity Infrastructure

Cloud

Cloud computing is growing and supporting innovation, with corporations digitizing their operations. The fund observes robust demand for cloud and semiconductor products, with widespread adoption of advanced processors by cloud providers building AI infrastructure.

Cloud Computing Digital Transformation Infrastructure Enterprise Innovation

Semiconductors

The semiconductor sector is benefiting from AI adoption and data center demand. Nvidia delivered record revenue driven by surging demand for AI-focused chips, with the strongest growth from its data center segment and the ramp-up of next-generation Blackwell chips designed for complex AI workloads.

Chips Data Centers AI Hardware GPUs Processing

2025 Q2

AI

Artificial Intelligence Machine Learning Data Centers Productivity Infrastructure

Cloud

Cloud computing is growing and supporting innovation, with corporations digitizing their operations. The fund observes widespread adoption of advanced processors by cloud providers building AI infrastructure. Microsoft's partnership with Nebius for dedicated GPU infrastructure to power AI services validates the growing cloud infrastructure ecosystem.

Cloud Computing Digital Transformation Infrastructure Enterprise Innovation

Semiconductors

The semiconductor sector showed strong performance driven by continued enthusiasm for AI and robust demand for semiconductor products. Nvidia delivered record revenue and earnings driven by surging demand for AI-focused chips, with strongest growth from its data center segment benefiting from widespread adoption of advanced processors.

Chips Data Centers AI Hardware GPUs Processing

2025 Q1

AI

AI is at an inflection point with potential for significant productivity increases. However, concerns emerged about advanced AI models from China developed at lower costs, raising doubts about U.S. technology dominance. Future AI models will require substantially more computational resources, driving continued demand for high-performance infrastructure.

Artificial Intelligence Computing Productivity Infrastructure Models

Cloud

Cloud computing continues growing and supporting innovation as corporations digitize their operations. Microsoft's Azure revenue growth missed estimates for the third consecutive quarter, though AI-related sales growth exceeded expectations and accounted for 13% of Azure's quarterly growth.

Cloud Computing Azure Digitization Innovation Infrastructure

Trade Policy

The Trump administration announced significant tariff increases creating substantial investor uncertainty. Anticipated retaliatory measures from trading partners complicated business spending plans, and expected pass-through of tariff-related costs raised inflationary concerns, contributing to market volatility.

Tariffs Trade Tensions Inflation Policy Uncertainty

Streaming

Spotify demonstrated strong performance with better-than-expected results driven by user growth and margin improvement. The company's strategic use of AI through personalized features like AI Playlist and AI DJ, combined with expansion into various audio formats, positions it for sustained growth in the evolving digital audio market.

Digital Audio Subscriptions User Growth Personalization Content

2024 Q4

AI

AI is at an inflection point, potentially enabling significant increases in productivity. AI is central to AppLovin's growth, driving a large majority of the company's revenue through its recommendation and targeting engine. Nvidia's computational power is a critical enabler of AI and therefore essential to AI adoption, with leadership in scaling AI infrastructure driving enterprise adoption.

Machine Learning Algorithms Data Analytics Productivity Enterprise

Cloud

Cloud computing is growing and supporting innovation. AWS revenue growth accelerated during the quarter with its highest-ever operating margin of 38.1%, driven by easing cloud cost optimizations, renewed workload migrations, and increasing contribution from AI workloads. Microsoft's Azure revenue grew 34% year-over-year with AI Services contributing 12% to Azure's growth.

Infrastructure Migration Optimization Workloads Services

E-commerce

MercadoLibre is Latin America's leading e-commerce and fintech platform, holding dominant positions across multiple countries. The company has successfully maintained and expanded its market share despite competition from global e-commerce players, leveraging strengths in customer data and distribution to drive growth in advertising and fintech segments.

Marketplace Fintech Network Effects Distribution Advertising

2024 Q3

AI

AI is at an inflection point, potentially enabling significant increases in productivity. AppLovin leverages AI-powered software engine driving 60% of revenue through recommendation and targeting. Meta uses AI to enhance targeting, measurement, ranking, and ad delivery.

Machine Learning Algorithms Productivity Targeting Automation

Cloud

Cloud computing is growing and supporting innovation. Microsoft's Azure cloud segment reported weaker-than-expected revenue growth but AI contributed 7% to cloud growth, up from 6% last quarter.

Azure Infrastructure Computing Growth Innovation

E-commerce

MercadoLibre is Latin America's leading e-commerce platform with dominant positions across multiple countries. The company leverages network effects in e-commerce and logistics, with strong data and distribution advantages.

Marketplace Network Effects Digital Platform Latin America Logistics

Social Media

Meta operates the world's largest social network with over 3 billion monthly active users, generating 95% of revenue from advertising. Pinterest enables users to search and shop products with over 510 million global monthly active users.

Advertising User Engagement Monetization Platform Content

Advertising

AppLovin offers digital advertising platform for mobile app developers. Meta generates advertising revenue through improved targeting and ad delivery. Pinterest focuses on AI-driven product tools to improve campaign efficacy.

Ad Tech Monetization Digital Marketing Campaign Management Targeting

2024 Q2

AI

AI is at an inflection point, potentially enabling significant increases in productivity. NVIDIA's computational power is a critical enabler of AI and therefore essential to AI adoption. Microsoft's Azure cloud business grew 31% with 7% AI-related growth, and most AI revenue stems from inference rather than training, indicating high quality AI applications.

Artificial Intelligence Machine Learning Data Centers GPUs Inference

Cloud

Cloud computing is growing and supporting innovation with corporations digitizing their operations. Amazon's AWS revenue growth accelerated driven by easing cloud cost optimizations, renewed workload migrations, and increasing contribution from AI workloads. Microsoft's Azure business demonstrates leadership in cloud services.

Cloud Computing AWS Azure Digital Transformation Infrastructure

Data Centers

Strong demand from data centers is driving NVIDIA's performance, with large cloud service providers contributing approximately 45% of data center sales. These providers recognize the high return on investment offered by NVIDIA's computing solutions, which are driving AI spending.

Data Centers Computing Infrastructure Cloud Providers GPU Demand AI Infrastructure

Semiconductors

NVIDIA introduced its next-generation H200 chip, which nearly doubles the inference performance compared to the H100 chip. AMD operates in a large addressable market covering PCs, servers, high-end gaming, and deep learning, with competitive AI technologies including powerful accelerators.

Semiconductors GPU AI Chips Computing Processing

Date	Pitch Type	Author	Ticker	Company	Industry	Sub Industry	Bull / Bear	Exchange	Keywords	Action
Apr 29, 2026	Fund Letters	Alger Spectra Fund	GEV	GE Vernova Inc.	Specialty Industrial Machinery	Electrical Equipment	Bull	New York Stock Exchange	AI data centers, Electrification, energy infrastructure, energy transition, Gas turbines, Power generation, Services Business, Wind Energy	Login
Apr 29, 2026	Fund Letters	Alger Spectra Fund	WDC	Western Digital Corporation	Computer Hardware	Technology Hardware, Storage & Peripherals	Bull	NASDAQ	AI infrastructure, areal density, Cloud computing, data storage, Hard Disk Drives, hyperscalers, industry consolidation, long-term contracts	Login
Apr 29, 2026	Fund Letters	Alger Spectra Fund	NBIS	Nebius Group	Internet Content & Information	IT Services	Bull	NASDAQ	AI infrastructure, data centers, GPU Cloud Computing, high-performance computing, Hyperscaler Agreements, machine learning, operating leverage, vertical integration	Login
Apr 29, 2026	Fund Letters	Alger Spectra Fund	MSFT	Microsoft Corporation	Software - Infrastructure	Software	Bull	NASDAQ	Azure, Cloud computing, contract backlog, Digital transformation, Enterprise software, generative AI, GPU capacity, operating leverage	Login
Apr 29, 2026	Fund Letters	Alger Spectra Fund	APP	AppLovin Corp.	Advertising Agencies	Interactive Media & Services	Bull	NASDAQ	AI-Powered Platform, Data Analytics, Demand Side Platform, e-commerce expansion, Mobile Advertising, Mobile Gaming, network effects, user acquisition	Login
Apr 29, 2026	Fund Letters	Alger Spectra Fund	NVDA	NVIDIA Corporation	Semiconductors	Semiconductors & Semiconductor Equipment	Bull	NASDAQ	Accelerated Computing, AI infrastructure, AI training, cloud infrastructure, data centers, Graphics Processing Units, market leadership, semiconductors	Login
Jan 15, 2026	Fund Letters	Ankur Crawford	CIDM	Cidara Therapeutics, Inc.	Health Care	Biotechnology	Bull	NASDAQ	Antivirals, Biotech, FDA, Influenza, M&A	Login
Jan 15, 2026	Fund Letters	Ankur Crawford	NBIS	Nebius Group N.V.	Information Technology	IT Services & Cloud Infrastructure	Bull	NASDAQ	AI, cloud, datacenters, GPUs, infrastructure	Login
Jan 15, 2026	Fund Letters	Ankur Crawford	MSFT	Microsoft Corporation	Information Technology	Systems Software	Bull	NASDAQ	AI, CapEx, cloud, enterprise, Software	Login
Jan 15, 2026	Fund Letters	Ankur Crawford	META	Meta Platforms Inc. Class A	Communication Services	Interactive Media & Services	Bull	NASDAQ	advertising, AI, CapEx, Platforms, Socialmedia	Login
Jan 15, 2026	Fund Letters	Ankur Crawford	GOOGL	Alphabet Inc. Class A	Communication Services	Interactive Media & Services	Bull	NASDAQ	advertising, AI, cloud, infrastructure, scale	Login
Jan 15, 2026	Fund Letters	Ankur Crawford	NTRA	Natera, Inc.	Health Care	Diagnostics & Research	Bull	NASDAQ	diagnostics, Genomics, growth, Oncology, Reimbursement	Login
Oct 14, 2025	Fund Letters	Ankur Crawford	APP	AppLovin Corp.	Communication Services	Advertising Technology	Bull	NASDAQ	advertising, AI, Data, growth, Mobile, monetization, network, platform, Software	Login
Oct 14, 2025	Fund Letters	Ankur Crawford	NVDA	NVIDIA Corporation	Information Technology	Semiconductors	Bull	NASDAQ	AI, Chips, cloud, Compute, datacenter, GPUs, growth, Hardware, semiconductors	Login
Sep 30, 2025	Fund Letters	Alger Spectra Fund	APP	AppLovin Corp.	Communication Services	Interactive Media & Services	Bull	NASDAQ	advertising technology, AI-Powered Platform, Data Analytics, growth, Mobile Gaming, network effects, S&P 500 Addition, SaaS	Login
Sep 30, 2025	Fund Letters	Alger Spectra Fund	NBIS	Nebius Group N.V.	Information Technology	IT Services	Bull	NASDAQ	AI infrastructure, Cloud computing, data centers, Enterprise Services, Europe, GPU computing, growth, Microsoft partnership	Login
Sep 30, 2025	Fund Letters	Alger Spectra Fund	NVDA	NVIDIA Corporation	Information Technology	Semiconductors & Semiconductor Equipment	Bull	NASDAQ	AI infrastructure, Cloud computing, data centers, GPUs, growth, high-performance computing, semiconductors, technology leadership	Login
Jul 22, 2025	Fund Letters	Ankur Crawford	GLOB	Globant SA	Information Technology	IT Consulting & Other Services	Bear	NYSE	cloud, Consulting, Demand, margin, transformation	Login
Jul 22, 2025	Fund Letters	Ankur Crawford	NVDA	NVIDIA Corporation	Information Technology	Semiconductors	Bull	NASDAQ	AI, Computing, datacenters, growth, semiconductors	Login
Jul 22, 2025	Fund Letters	Ankur Crawford	MSFT	Microsoft Corporation	Information Technology	Systems Software	Bull	NASDAQ	AI, cloud, productivity, Software, Subscriptions	Login
Jul 22, 2025	Fund Letters	Ankur Crawford	META	Meta Platforms Inc.	Communication Services	Interactive Media & Services	Bull	NASDAQ	advertising, AI, Engagement, monetization, Social	Login
Jul 22, 2025	Fund Letters	Ankur Crawford	AAPL	Apple Inc.	Information Technology	Technology Hardware, Storage & Peripherals	Bull	NASDAQ	Ecosystem, Hardware, innovation, Margins, services	Login
Jul 22, 2025	Fund Letters	Ankur Crawford	UNH	UnitedHealth Group Incorporated	Health Care	Managed Health Care	Bear	NASDAQ	Costs, guidance, Insurance, Reimbursement, Utilization	Login
Mar 31, 2025	Fund Letters	Alger Spectra Fund	GFL	GFL Environmental Inc	Industrials	Environmental & Facilities Services	Bull	NYSE	Balance Sheet Transformation, deleveraging, divestiture, environmental services, Free Cash Flow, Solid Waste, value creation, waste management	Login
Mar 31, 2025	Fund Letters	Alger Spectra Fund	NVDA	NVIDIA Corporation	Information Technology	Semiconductors & Semiconductor Equipment	Bull	NASDAQ	AI infrastructure, Artificial Intelligence, data centers, Enterprise AI, GPUs, high-performance computing, Parallel Processing, semiconductors	Login
Mar 31, 2025	Fund Letters	Alger Spectra Fund	SPOT	Spotify Technology	Communication Services	Interactive Media & Services	Bull	NYSE	Ad-supported, AI integration, Audio Platform, Audiobooks, digital media, Podcasts, Premium Subscription, Streaming	Login
Mar 31, 2025	Fund Letters	Alger Spectra Fund	MSFT	Microsoft Corporation	Information Technology	Software	Bull	NASDAQ	Artificial Intelligence, Azure, Cloud computing, Digital transformation, Enterprise software, Office365, productivity software, SaaS	Login
Mar 31, 2025	Fund Letters	Alger Spectra Fund	AMZN	Amazon.com, Inc.	Consumer Discretionary	Broadline Retail	Bull	NASDAQ	AI infrastructure, AWS, Cloud computing, digital advertising, e-commerce, Platform business, Prime Subscription, retail technology	Login
Mar 31, 2025	Fund Letters	Alger Spectra Fund	HEI	HEICO Corporation	Industrials	Aerospace & Defense	Bull	NYSE	Aerospace, Aftermarket Parts, Commercial Aviation, Defense, electronics, FAA Approved, Flight Support, Replacement Parts	Login
Dec 31, 2024	Fund Letters	Alger Spectra Fund	LLY	Eli Lilly and Company	Health Care	Pharmaceuticals	Bull	NYSE	Diabetes, drug pipeline, Inventory Dynamics, Mounjaro, Obesity drugs, pharmaceuticals, Zepbound	Login
Dec 31, 2024	Fund Letters	Alger Spectra Fund	NVDA	NVIDIA Corporation	Information Technology	Semiconductors & Semiconductor Equipment	Bull	NASDAQ	AI infrastructure, Artificial Intelligence, data centers, GPUs, high-performance computing, Hopper H200, semiconductors	Login
Dec 31, 2024	Fund Letters	Alger Spectra Fund	MELI	MercadoLibre, Inc.	Consumer Discretionary	Internet & Direct Marketing Retail	Bull	NASDAQ	advertising, credit cards, e-commerce, Fintech, Latin America, market share, network effects	Login
Dec 31, 2024	Fund Letters	Alger Spectra Fund	AMZN	Amazon.com, Inc.	Consumer Discretionary	Internet & Direct Marketing Retail	Bull	NASDAQ	AI workloads, AWS, capital expenditures, Cloud computing, Digital transformation, e-commerce, operating leverage	Login
Dec 31, 2024	Fund Letters	Alger Spectra Fund	MSFT	Microsoft Corporation	Information Technology	Systems Software	Bull	NASDAQ	AI services, Azure, capital expenditures, Cloud computing, Corporate Digitization, OpenAI, Software	Login
Dec 31, 2024	Fund Letters	Alger Spectra Fund	APP	AppLovin Corp.	Communication Services	Interactive Media & Services	Bull	NASDAQ	advertising technology, AI-powered, Data Analytics, Mobile Gaming, network effects, Revenue Growth, share repurchases	Login
Sep 30, 2024	Fund Letters	Alger Spectra Fund	APP	AppLovin Corp	Communication Services	Interactive Media & Services	Bull	NASDAQ	advertising technology, Artificial Intelligence, Data Analytics, digital platform, growth, Mobile Gaming, network effects, SaaS	Login
Sep 30, 2024	Fund Letters	Alger Spectra Fund	PINS	Pinterest Inc	Communication Services	Interactive Media & Services	Bull	NYSE	Artificial Intelligence, digital advertising, e-commerce, platform, SMB, social media, Visual Discovery	Login
Sep 30, 2024	Fund Letters	Alger Spectra Fund	META	Meta Platforms Inc	Communication Services	Interactive Media & Services	Bull	NASDAQ	Artificial Intelligence, digital advertising, Global Platform, social media, technology, user engagement, Video Content	Login
Sep 30, 2024	Fund Letters	Alger Spectra Fund	MELI	MercadoLibre Inc	Consumer Discretionary	Internet & Direct Marketing Retail	Bull	NASDAQ	digital payments, e-commerce, Emerging markets, Fintech, growth, Latin America, marketplace, network effects	Login
Sep 30, 2024	Fund Letters	Alger Spectra Fund	GOOGL	Alphabet Inc	Communication Services	Interactive Media & Services	Bull	NASDAQ	Artificial Intelligence, autonomous driving, Cloud computing, digital advertising, search engine, technology, YouTube	Login
Sep 30, 2024	Fund Letters	Alger Spectra Fund	MSFT	Microsoft Corporation	Information Technology	Systems Software	Bull	NASDAQ	Artificial Intelligence, Azure, Cloud computing, Digital transformation, Enterprise software, productivity software, technology	Login
Jun 30, 2024	Fund Letters	Alger Spectra Fund	AMD	Advanced Micro Devices, Inc.	Information Technology	Semiconductors & Semiconductor Equipment	Bull	NASDAQ	Artificial Intelligence, data centers, Equity, Gaming, growth, semiconductors, Server CPUs	Login
Jun 30, 2024	Fund Letters	Alger Spectra Fund	NVDA	NVIDIA Corporation	Information Technology	Semiconductors & Semiconductor Equipment	Bull	NASDAQ	Artificial Intelligence, Cloud computing, data centers, Equity, GPUs, growth, semiconductors	Login
Jun 30, 2024	Fund Letters	Alger Spectra Fund	MLM	Martin Marietta Materials, Inc.	Materials	Construction Materials	Neutral	NYSE	aggregates, construction materials, Cyclical, Equity, infrastructure, Pricing power, Weather Impact	Login
Jun 30, 2024	Fund Letters	Alger Spectra Fund	MSFT	Microsoft Corporation	Information Technology	Systems Software	Bull	NASDAQ	Artificial Intelligence, Azure, Cloud computing, enterprise, Equity, growth, productivity software, Software	Login
Jun 30, 2024	Fund Letters	Alger Spectra Fund	AMZN	Amazon.com, Inc.	Consumer Discretionary	Internet & Direct Marketing Retail	Bull	NASDAQ	Artificial Intelligence, AWS, Cloud computing, Digital transformation, e-commerce, Equity, growth	Login
Jun 30, 2024	Fund Letters	Alger Spectra Fund	DKNG	DraftKings Inc.	Communication Services	Interactive Media & Services	Bull	NASDAQ	Customer Acquisition, Digital Entertainment, Equity, Gaming, growth, Regulatory risk, Sports betting	Login

Date

Pitch Type

Author

Ticker

Company

Industry

Sub Industry

Bull / Bear

Exchange

Keywords

Action

Apr 29, 2026

Fund Letters

Alger Spectra Fund

GEV

GE Vernova Inc.

Specialty Industrial Machinery

Electrical Equipment

Bull

New York Stock Exchange

AI data centers, Electrification, energy infrastructure, energy transition, Gas turbines, Power generation, Services Business, Wind Energy

Apr 29, 2026

Fund Letters

Alger Spectra Fund

WDC

Western Digital Corporation

Computer Hardware

Technology Hardware, Storage & Peripherals

Bull

NASDAQ

AI infrastructure, areal density, Cloud computing, data storage, Hard Disk Drives, hyperscalers, industry consolidation, long-term contracts

Apr 29, 2026

Fund Letters

Alger Spectra Fund

NBIS

Nebius Group

Internet Content & Information

IT Services

Bull

NASDAQ

AI infrastructure, data centers, GPU Cloud Computing, high-performance computing, Hyperscaler Agreements, machine learning, operating leverage, vertical integration

Apr 29, 2026

Fund Letters

Alger Spectra Fund

MSFT

Microsoft Corporation

Software - Infrastructure

Software

Bull

NASDAQ

Azure, Cloud computing, contract backlog, Digital transformation, Enterprise software, generative AI, GPU capacity, operating leverage

Apr 29, 2026

Fund Letters

Alger Spectra Fund

APP

AppLovin Corp.

Advertising Agencies

Interactive Media & Services

Bull

NASDAQ

AI-Powered Platform, Data Analytics, Demand Side Platform, e-commerce expansion, Mobile Advertising, Mobile Gaming, network effects, user acquisition

Apr 29, 2026

Fund Letters

Alger Spectra Fund

NVDA

NVIDIA Corporation

Semiconductors

Semiconductors & Semiconductor Equipment

Bull

NASDAQ

Accelerated Computing, AI infrastructure, AI training, cloud infrastructure, data centers, Graphics Processing Units, market leadership, semiconductors

Jan 15, 2026

Fund Letters

Ankur Crawford

CIDM

Cidara Therapeutics, Inc.

Health Care

Biotechnology

Bull

NASDAQ

Antivirals, Biotech, FDA, Influenza, M&A

Jan 15, 2026

Fund Letters

Ankur Crawford

NBIS

Nebius Group N.V.

Information Technology

IT Services & Cloud Infrastructure

Bull

NASDAQ

AI, cloud, datacenters, GPUs, infrastructure

Jan 15, 2026

Fund Letters

Ankur Crawford

MSFT

Microsoft Corporation

Information Technology

Systems Software

Bull

NASDAQ

AI, CapEx, cloud, enterprise, Software

Jan 15, 2026

Fund Letters

Ankur Crawford

META

Meta Platforms Inc

Communication Services

Interactive Media & Services

Bull

NASDAQ

Artificial Intelligence, digital advertising, Global Platform, social media, technology, user engagement, Video Content

Sep 30, 2024

Fund Letters

Alger Spectra Fund

MELI

MercadoLibre Inc

Consumer Discretionary

Internet & Direct Marketing Retail

Bull

NASDAQ

digital payments, e-commerce, Emerging markets, Fintech, growth, Latin America, marketplace, network effects

Sep 30, 2024

Fund Letters

Alger Spectra Fund

GOOGL

Alphabet Inc

Communication Services

Interactive Media & Services

Bull

NASDAQ

Artificial Intelligence, autonomous driving, Cloud computing, digital advertising, search engine, technology, YouTube

Sep 30, 2024

Fund Letters

Alger Spectra Fund

MSFT

Microsoft Corporation

Information Technology

Systems Software

Bull

NASDAQ

Artificial Intelligence, Azure, Cloud computing, Digital transformation, Enterprise software, productivity software, technology

Jun 30, 2024

Fund Letters

Alger Spectra Fund

AMD

Advanced Micro Devices, Inc.

Information Technology

Semiconductors & Semiconductor Equipment

Bull

NASDAQ

Artificial Intelligence, data centers, Equity, Gaming, growth, semiconductors, Server CPUs

Jun 30, 2024

Fund Letters

Alger Spectra Fund

NVDA

NVIDIA Corporation

Information Technology

Semiconductors & Semiconductor Equipment

Bull

NASDAQ

Artificial Intelligence, Cloud computing, data centers, Equity, GPUs, growth, semiconductors

Jun 30, 2024

Fund Letters

Alger Spectra Fund

MLM

Martin Marietta Materials, Inc.

Materials

Construction Materials

Neutral

NYSE

aggregates, construction materials, Cyclical, Equity, infrastructure, Pricing power, Weather Impact

Jun 30, 2024

Fund Letters

Alger Spectra Fund

MSFT

Microsoft Corporation

Information Technology

Systems Software

Bull

NASDAQ

Artificial Intelligence, Azure, Cloud computing, enterprise, Equity, growth, productivity software, Software

Jun 30, 2024

Fund Letters

Alger Spectra Fund

AMZN

Amazon.com, Inc.

Consumer Discretionary

Internet & Direct Marketing Retail

Bull

NASDAQ

Artificial Intelligence, AWS, Cloud computing, Digital transformation, e-commerce, Equity, growth

Jun 30, 2024

Fund Letters

Alger Spectra Fund

DKNG

DraftKings Inc.

Communication Services

Interactive Media & Services

Bull

NASDAQ

Customer Acquisition, Digital Entertainment, Equity, Gaming, growth, Regulatory risk, Sports betting

TICKER	COMMENTARY
GEV	GE Vernova is a purpose-built global energy company operating through three segments — Power, Wind, and Electrification — that provide technologies to generate, transfer, convert, and store electricity. The company supports approximately a quarter of the world's electricity generation through a massive installed base of gas and wind turbines, and its record backlog and high-margin services business provide significant visibility into long-term free cash flow potential through the end of the decade. We believe GE Vernova is uniquely positioned to benefit from the global energy transition and rising power demand driven by AI data centers. During the quarter, shares contributed positively to performance supported by a strong fiscal fourth-quarter earnings report that highlighted a significant organic increase in orders, led by a tripling of Gas Power equipment orders and record bookings in the Electrification segment.
WDC	Western Digital is a hard disk drive (HDD) storage company benefiting from rising hyperscaler data-center investment and the continued proliferation of data. The HDD industry is highly consolidated, with only two scaled manufacturers, and Western Digital holds a leading market position. The business has structurally shifted toward cloud customers as consumer exposure has declined, with cloud representing the majority of Western Digital's revenue. Importantly, industry participants have emphasized capital discipline—prioritizing higher areal density (i.e., more terabytes per drive) rather than adding significant unit capacity—which supports a healthier supply/demand balance and improved profitability. During the quarter, shares contributed positively to performance after the company delivered strong fiscal second-quarter results highlighted by robust revenue growth, record gross margins, and favorable pricing dynamics in a tightly supplied market. Notably, the company's full-year production capacity is committed under long-term agreements, providing strong revenue visibility. We believe Western Digital's leadership in high-capacity drive technology and its essential role within the AI data infrastructure ecosystem support a durable long-term growth trajectory.
MSFT	Microsoft is a global technology leader and a primary beneficiary of the ongoing digital transformation of enterprise computing, holding dominant positions in desktop software, cloud infrastructure, and generative artificial intelligence. We believe the company is well positioned as businesses continue to shift workloads to the cloud and integrate AI into their operations. During the quarter, shares detracted from performance despite the company delivering better-than-expected total revenue and earnings, with operating profitability improving substantially year over year. The primary source of investor disappointment was the company's Azure cloud business, where revenue growth came in slightly below elevated expectations. Management attributed the shortfall in part to supply constraints and the allocation of computing resources, suggesting that the company is currently unable to fully meet customer demand rather than facing any softening in underlying appetite. Despite the near-term shortfall, the total value of newly signed customer contracts grew significantly, providing multiple years of committed future revenue, while management noted that its entire GPU capacity is fully contracted for its useful life.
APP	AppLovin is an advertising technology company offering a digital platform that helps mobile app developers market, monetize, and analyze their apps. We believe the company is experiencing a positive lifecycle change, driven by its AI-powered software engine. While currently focused on mobile gaming, AppLovin is expanding into other market segments. Its Demand Side Platform (DSP) supports ad placements, user acquisition, inventory matching, and performance analytics. Further, we believe AI is central to AppLovin's growth, driving a large majority of the company's revenue through its recommendation and targeting engine. In our view, AppLovin gains a competitive advantage, delivering higher-value app installs by leveraging data from its game portfolio and developer partners. We believe this scale and data advantage enhances its network effect, improving its technology and boosting market share in mobile gaming. As developers use the platform, the company collects data that continuously refines its algorithms. During the quarter, shares detracted from performance despite another strong earnings report that exceeded expectations on both revenue and profitability. Investor sentiment was pressured by short seller reports alleging questionable ad practices — claims we view as a misunderstanding of the company's business model — coupled with a broad selloff across the software space. Additionally, early channel checks on the company's e-commerce initiative have been mixed, with some advertisers reporting difficulty scaling spend on the platform. We remain constructive on the company's long-term trajectory.
NVDA	Nvidia is the world's leading designer of graphics processing units (GPUs) and accelerated computing platforms, providing the foundational hardware and software that power artificial intelligence training and inference across data centers, cloud infrastructure, and edge applications globally. The company's GPUs have become the de facto standard for AI workloads, and its expanding ecosystem of networking, software, and systems solutions has deepened its strategic importance to hyperscalers, enterprises, and sovereign AI initiatives worldwide. We believe Nvidia is a direct beneficiary of the AI infrastructure buildout given its dominant market position, unmatched product roadmap, and rapidly expanding addressable market. During the quarter, shares detracted from performance despite the company delivering record fiscal fourth-quarter results that exceeded expectations on both revenue and earnings, with strong forward guidance that pointed to continued acceleration. However, a sharp post-earnings sell-off reflected broader investor anxiety around the sustainability of AI capital spending, lingering questions about whether more cost-efficient AI models could reduce demand for high-end computing hardware, and a wider rotation out of mega-cap technology names. Despite the near-term volatility, we believe the structural demand for accelerated computing remains firmly intact.

TICKER

COMMENTARY

GEV

GE Vernova is a purpose-built global energy company operating through three segments — Power, Wind, and Electrification — that provide technologies to generate, transfer, convert, and store electricity. The company supports approximately a quarter of the world's electricity generation through a massive installed base of gas and wind turbines, and its record backlog and high-margin services business provide significant visibility into long-term free cash flow potential through the end of the decade. We believe GE Vernova is uniquely positioned to benefit from the global energy transition and rising power demand driven by AI data centers. During the quarter, shares contributed positively to performance supported by a strong fiscal fourth-quarter earnings report that highlighted a significant organic increase in orders, led by a tripling of Gas Power equipment orders and record bookings in the Electrification segment.

WDC

Western Digital is a hard disk drive (HDD) storage company benefiting from rising hyperscaler data-center investment and the continued proliferation of data. The HDD industry is highly consolidated, with only two scaled manufacturers, and Western Digital holds a leading market position. The business has structurally shifted toward cloud customers as consumer exposure has declined, with cloud representing the majority of Western Digital's revenue. Importantly, industry participants have emphasized capital discipline—prioritizing higher areal density (i.e., more terabytes per drive) rather than adding significant unit capacity—which supports a healthier supply/demand balance and improved profitability. During the quarter, shares contributed positively to performance after the company delivered strong fiscal second-quarter results highlighted by robust revenue growth, record gross margins, and favorable pricing dynamics in a tightly supplied market. Notably, the company's full-year production capacity is committed under long-term agreements, providing strong revenue visibility. We believe Western Digital's leadership in high-capacity drive technology and its essential role within the AI data infrastructure ecosystem support a durable long-term growth trajectory.

MSFT

Microsoft is a global technology leader and a primary beneficiary of the ongoing digital transformation of enterprise computing, holding dominant positions in desktop software, cloud infrastructure, and generative artificial intelligence. We believe the company is well positioned as businesses continue to shift workloads to the cloud and integrate AI into their operations. During the quarter, shares detracted from performance despite the company delivering better-than-expected total revenue and earnings, with operating profitability improving substantially year over year. The primary source of investor disappointment was the company's Azure cloud business, where revenue growth came in slightly below elevated expectations. Management attributed the shortfall in part to supply constraints and the allocation of computing resources, suggesting that the company is currently unable to fully meet customer demand rather than facing any softening in underlying appetite. Despite the near-term shortfall, the total value of newly signed customer contracts grew significantly, providing multiple years of committed future revenue, while management noted that its entire GPU capacity is fully contracted for its useful life.

APP

AppLovin is an advertising technology company offering a digital platform that helps mobile app developers market, monetize, and analyze their apps. We believe the company is experiencing a positive lifecycle change, driven by its AI-powered software engine. While currently focused on mobile gaming, AppLovin is expanding into other market segments. Its Demand Side Platform (DSP) supports ad placements, user acquisition, inventory matching, and performance analytics. Further, we believe AI is central to AppLovin's growth, driving a large majority of the company's revenue through its recommendation and targeting engine. In our view, AppLovin gains a competitive advantage, delivering higher-value app installs by leveraging data from its game portfolio and developer partners. We believe this scale and data advantage enhances its network effect, improving its technology and boosting market share in mobile gaming. As developers use the platform, the company collects data that continuously refines its algorithms. During the quarter, shares detracted from performance despite another strong earnings report that exceeded expectations on both revenue and profitability. Investor sentiment was pressured by short seller reports alleging questionable ad practices — claims we view as a misunderstanding of the company's business model — coupled with a broad selloff across the software space. Additionally, early channel checks on the company's e-commerce initiative have been mixed, with some advertisers reporting difficulty scaling spend on the platform. We remain constructive on the company's long-term trajectory.

NVDA

Nvidia is the world's leading designer of graphics processing units (GPUs) and accelerated computing platforms, providing the foundational hardware and software that power artificial intelligence training and inference across data centers, cloud infrastructure, and edge applications globally. The company's GPUs have become the de facto standard for AI workloads, and its expanding ecosystem of networking, software, and systems solutions has deepened its strategic importance to hyperscalers, enterprises, and sovereign AI initiatives worldwide. We believe Nvidia is a direct beneficiary of the AI infrastructure buildout given its dominant market position, unmatched product roadmap, and rapidly expanding addressable market. During the quarter, shares detracted from performance despite the company delivering record fiscal fourth-quarter results that exceeded expectations on both revenue and earnings, with strong forward guidance that pointed to continued acceleration. However, a sharp post-earnings sell-off reflected broader investor anxiety around the sustainability of AI capital spending, lingering questions about whether more cost-efficient AI models could reduce demand for high-end computing hardware, and a wider rotation out of mega-cap technology names. Despite the near-term volatility, we believe the structural demand for accelerated computing remains firmly intact.

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Investment Summary

Investor Summary

Fund Strategy

FUND PERFORMANCE AS OF 31st March 2026

Investor Letters

Latest Executive Summary:

Executive Summary

Core Thesis

Forward Outlook

Investment Themes

AI

Data Centers

Energy Transition

Cloud

AI

Software

Hotels

Value

AI

Cloud

Semiconductors

AI

Cloud

Semiconductors

AI

Cloud

Trade Policy

Streaming

AI

Cloud

E-commerce

AI

Cloud

E-commerce

Social Media

Advertising

AI

Cloud

Data Centers

Semiconductors

Investor Pitches

Current Portfolio as of ( 31st March 2026 )

Key Risks identified by Manager:

Key catalysts include:

Portfolio Implications

Ticker Commentary

Ankur Crawford Top Holdings

Recent Buys (13F)

Recent Sells (13F)

13F Sector Summary

Portfolio Distribution

Latest 13D & 13G Filings

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Alger Spectra Fund