Private investment firms catering to ultra-wealthy clients significantly increased their stakes in semiconductor companies during Q1 2026, despite geopolitical tensions from the Iran war. Notably, David Tepper’s Appaloosa Management raised its investment in Micron Technology by 11%, making it a $562.5 million holding, while also boosting its position in Taiwan Semiconductor by 18%. Soros Fund Management raised its Nvidia stake by 61%, reflecting a broader trend of family offices capitalizing on the semiconductor sector’s recent surge.

This strategic pivot towards chipmakers comes as semiconductor stocks have experienced substantial gains, with shares of Micron and Sandisk rising approximately 60% and 50%, respectively, over the past month. Meanwhile, Broadcom and Taiwan Semiconductor have seen increases of around 35% and 19% since March. Conversely, some firms opted to lock in gains by exiting positions in other sectors, particularly airlines, amid rising fuel costs driven by the ongoing conflict.

Market professionals should note the contrasting strategies among family offices, as they navigate volatility in energy and semiconductor stocks, indicating a selective approach to risk and opportunity in the current environment.

Source: cnbc.com