| ANNUALIZED SINCE INCEPTION | QUARTERLY | YTD |
|---|---|---|
| - | 0% | 0% |
Square Peg delivered exceptional performance with portfolio value growing 24% over six months, driven by strong fundamental performance and valuation uplifts across portfolio companies. The fund is positioned for an AI-driven transformation they view as unprecedented in scope and speed. Their investment philosophy focuses on backing 7-12 new companies annually across core themes, building 20-25 company portfolios with 50% capital reserved for follow-on investments in top performers. The portfolio spans different layers of the AI stack, from foundational models like Thinking Machines Lab to application layer companies including Aidoc, Sumble, Cuttable, and Lorikeet. This application layer focus aligns with their 13-year track record in SaaS businesses like Canva, Neara, and Vend. Key risks include AI's profound societal impact creating employment displacement and complex questions about human purpose. The fund sees industry-by-industry transformation by AI-native applications as still in very early days, with their next generation of companies expected to drive performance over the next 5+ years.
Square Peg believes we are entering a period of profound technological and societal change driven by AI with no historical precedent, creating unprecedented investment opportunities in AI-native applications that will transform industries.
The fund expects continued rapid technological change driven by AI transformation across industries. They anticipate their next generation of companies will increasingly drive fund performance over the next 5+ years, while maintaining focus on AI-native applications at the application layer.
| Date | Letter | Tickers | Keywords | Pitches | Quick Takes |
|---|---|---|---|---|---|
| Jan 22 2026 | 2025 Q4 | GOOGL, LYFT, NVDA, TSLA, UBER | AI, Applications, growth, innovation, portfolio, Robotics, technology, Venture Capital | - | Square Peg delivered 24% portfolio growth over six months while positioning for unprecedented AI-driven transformation across industries. Their focus on AI-native applications at the application layer builds on 13 years of SaaS expertise, with portfolio companies spanning foundational models to enterprise applications. They view current AI adoption as early days of profound technological change. |
| Jul 22 2025 | 2025 Q2 | CANV, META | AI, Australia, growth, innovation, Israel, Southeast Asia, technology, Venture Capital | - | Square Peg is aggressively capitalizing on the AI revolution across Australia, Israel, and Southeast Asia, with AI investments now comprising the majority of their deal flow. The firm has enhanced their investment process through AI-powered tools while maintaining founder relationships, positioning for what they believe will be the greatest value creation opportunity since the Internet era. |
| Jan 22 2025 | 2024 Q4 | AWLX, CVNA | AI, Australia, Fintech, portfolio, SaaS, Southeast Asia, Venture Capital | - | Square Peg delivered 21% portfolio growth in 2024 while returning $220m to investors. Their largest holdings Canva, Rokt, Airwallex, and Kredivo are accelerating growth. The firm focuses on AI, FinTech, and SaaS across Australia and Southeast Asia, emphasizing long hold periods for compounding returns. They expect peak exits 2025-2027 for earlier vintages. |
| Jul 23 2024 | 2024 Q2 | AMZN, GOOGL, NVDA | AI, Australia, Fintech, Israel, SaaS, Southeast Asia, technology, Venture Capital | - | Square Peg returned US$187 million to investors while increasing investment pace in AI-first and SaaS-fintech companies across Australia, Southeast Asia, and Israel. Portfolio growth accelerated with strong unit economics after challenging 2022-2023 period. The firm leverages decade-long AI expertise to capitalize on unprecedented technology advancement and value creation opportunities. |
| Jan 22 2024 | 2023 Q4 | - | AI, Australia, early stage, Fintech, Israel, SaaS, Southeast Asia, Venture Capital | - | Square Peg maintains high conviction in their thematic approach to early-stage investing across SaaS, FinTech, and AI in Australia, Israel, and Southeast Asia. Despite slower 2023 activity, their portfolio remains resilient with strong performers like Canva and Airwallex. They enter 2024 excited about AI opportunities, expecting increased exit activity ahead while continuing their multi-geography strategy. |
| Jul 25 2023 | 2023 Q2 | GOOGL | AI, Fintech, innovation, SaaS, Startups, technology, Venture Capital | - | Square Peg declares we're entering the AI era, comparing it to the transistor's invention. With 25% of their portfolio already AI-focused since 2016 investments, they're doubling down on AI-first companies while navigating challenging venture markets. Valuations have declined with funding concentrated among top-tier startups, creating both portfolio pressure and new investment opportunities. |
| Jan 24 2023 | 2022 Q4 | - | - | - | |
| Jul 22 2022 | 2022 Q2 | - | - | - |
| QUARTER | THEMES | TAGS |
|---|---|---|
| 2025 Q4 |
AIAI has been the defining theme of market leadership in 2025, driving data center capex and benefiting semis, electrical equipment, and tech hardware. The theme reasserted dominance after NVIDIA's strong earnings in late November, though concerns about durability caused temporary rotation. |
Data Centers Semiconductors Infrastructure |
ElectrificationPortfolio maintains largest absolute and relative exposure to Industrials sector representing conviction in the Electrification theme. Bloom Energy benefited from AI data center power demands, providing clean, reliable power solutions for energy-intensive AI workloads. |
Power Energy Storage Grid | |
BiotechnologyBiotech delivered its best quarter in five years driven by improving rate environment, easing regulation enabling more M&A, and excitement around AI's promise in driving drug discovery efficiencies. Sector was a standout performer during the quarter. |
Drug Discovery M&A Regulation | |
AerospacePortfolio maintains conviction in Aerospace theme alongside Electrification within Industrials sector exposure. Rocket Lab operates in Launch Services and Space Systems, providing rides to orbit for small satellites and manufacturing spacecraft components. |
Space Defense Launch Services | |
SolarFirst Solar benefited from Trump Administration's 'One Big Beautiful Bill' driving US demand for non-China solar products. Company differentiates with thin-film CdTe technology offering better performance in hot/humid/low light conditions for large scale deployment. |
Manufacturing Technology Policy | |
| 2025 Q2 |
AIThe AI investing opportunity set is growing significantly with over 50% of global venture dollars now invested in AI. Square Peg has accelerated their AI investing pace, with the opportunity set exploding across their regions, particularly in Israel which has been exceptional for years, while Australia & New Zealand and Southeast Asia have ramped up enormously. They believe some of the world's biggest businesses ever created will be founded in the AI era. |
Artificial Intelligence Machine Learning Venture Capital Technology Innovation Business Models |
Venture CapitalThe business of early-stage investing will look very different five years from now due to AI evolution. Square Peg is positioning themselves by utilizing their own data and insights from across multiple products and 13-year history, augmented with alternative data sources, to enhance their ability to rapidly find and assess investment opportunities while maintaining human relationships with founders. |
Early Stage Investment Process Data Analytics Sourcing Due Diligence | |
| 2024 Q4 |
AISquare Peg is excited about AI opportunities across their portfolio, particularly vertical applications. They highlight Cuttable as an automated content agency combining advertising craft with AI precision and speed, and Exodigo which uses advanced AI for underground mapping with multi-sensor fusion and 3D imaging. |
Artificial Intelligence Automation Vertical Software Content Mapping |
FinTechFinTech remains a core investment theme with strong performance from portfolio companies like Airwallex and Kredivo. Constantinople exemplifies their fintech focus, building banking-in-a-box software that simplifies how banks operate, targeting retail banking and embedded finance services. |
Financial Technology Banking Payments Embedded Finance Software | |
SaaSSaaS is identified as a core theme with strong portfolio performance. Supabase represents their global SaaS focus, providing an open-source database and developer platform that enables front-end developers to build applications without managing backend infrastructure, growing over 200% year-on-year. |
Software as a Service Developer Tools Database Platform Open Source | |
| 2024 Q2 |
AISquare Peg views AI as the defining technology theme for an extended period, with unprecedented intersection of rapid technological advancement, application creation, and enormous addressable markets. The firm has been actively investing in AI businesses since 2013, building domain knowledge and networks across their geographies. They believe AI will drive decades of new applications and create trillions in shareholder value. |
Artificial Intelligence Technology Innovation Applications Startups Value Creation |
FinTechFinTech remains one of Square Peg's core investment themes alongside AI and SaaS. The firm has made several new investments in businesses operating at the intersection of SaaS and fintech during the reporting period. |
Financial Technology SaaS Payments Financial Services | |
SaaSSoftware-as-a-Service continues as a core investment theme for Square Peg. The firm has invested in new portfolio companies operating at the intersection of SaaS and fintech, maintaining their focus on this sector across their geographic regions. |
Software Subscription Enterprise Cloud | |
| 2023 Q4 |
AI2023 was the year of AI, with the firm believing we are at the early stages of the AI era that may be the most fundamental tech era since the transistor in 1947. They expect 2024 to see founders with domain-specific knowledge founding AI companies to solve age-old problems, with durability found in businesses solving vertical or domain-specific problems. |
Machine Learning Domain Specific Vertical Solutions Technology Infrastructure Innovation |
SaaSSaaS remains one of three core thematic focus areas representing about three quarters of investing activity. The firm continues to pursue early-stage opportunities in SaaS alongside Fintech and AI as their primary investment themes. |
Software Enterprise Subscription Cloud B2B | |
FinTechFinTech is identified as one of three core thematic focus areas that will typically represent about three quarters of investing activity. The firm has significant exposure through companies like Airwallex with $5.6bn valuation and revenues in the $100-500m range. |
Financial Services Payments Digital Banking Financial Technology Innovation | |
| 2023 Q2 |
AISquare Peg views AI as the dawn of a new technological era comparable to the transistor invention. The firm has been investing in AI-first businesses since 2016 and sees this as potentially the most important innovation in human history. They are evaluating AI companies based on fundamental business strength, competitive advantages, and team positioning. |
ChatGPT OpenAI Machine Learning Foundational Models AI-first |
| Date | Pitch Type | Author | Ticker | Company | Industry | Sub Industry | Bull / Bear | Exchange | Keywords | Action |
|---|---|---|---|---|---|---|---|---|---|---|
| No Elevator Pitches found | ||||||||||
| TICKER | COMMENTARY |
|---|---|
| GOOGL | In the third quarter, Google, Kairos Power, and the Tennessee Valley Authority announced a major collaboration centered on a novel power purchase agreement. Google followed this announcement with another significant step forward. On October 27, Google and NextEra Energy announced plans to restart the Duane Arnold Energy Center. |
| LYFT | Another is applying things we've learned from past investments to make new investments – Lyft (LYFT). Falling on Lyft at almost the right time – I was a few months late for its full move – is an example of just following up and reading about things. We still need to be aware that autonomous driving could warp Lyft's business prospects for better or for worse, but at its fundamental level it's very cheap and still growing. |
| NVDA | AI bellwether NVIDIA's very strong set of earnings in late November helped the AI theme re-assert its dominance when investors breathed a sigh of relief following the results. |
| TSLA | Under the previous system, companies that produced only electric vehicles—most notably Tesla—generated large quantities of credits that could then be sold to manufacturers falling short of their EV production targets, allowing them to avoid regulatory penalties. |
| UBER | UBER was a detractor in the fourth quarter following its third-quarter 2025 earnings report, which delivered strong operating performance but was met with a muted market reaction. Gross Bookings and adjusted EBITDA both came in near the high end of management's guidance, driven by accelerating demand across both Mobility and Delivery. However, investor focus shifted to commentary around reduced margin expansion as the company steps up investment in growth initiatives, including autonomous vehicle partnerships, platform innovation, and commerce expansion. |
| Ticker | Put/Call | Amount Bought | Shares Bought | % Change | Weight % |
|---|---|---|---|---|---|
| No Recent Buys Data | |||||
| Ticker | Put/Call | Amount Sold | Shares Sold | % Change | Weight % | Status |
|---|---|---|---|---|---|---|
| No Recent Sells Data | ||||||
| Industry | Prev Quarter % | Current Quarter % | Change |
|---|---|---|---|
| No industry data available | |||
