We had two back to back outstanding years. Following a year (2023) when our recommendations returned 64% vs 24%, the early assumptions was for a modest year in 2024, but the momentum for tech stocked continued strongly, with AI dominating the conversation early int eh year, followed by a late recognition of the importance of Quantum Computing in the final quarter of 2024.

Our best performing stock, Palantir, captures everything we have been advocating for more than a decade: Smart leadership, strong MOAT, and bleeding edge technology in a space that is not well understood by most investors. Combine that with a hot AI space and the stock was up 346% in 2024. This was followed closely by IonQ, a leader in quantum computing (+238%), which languished most of the year and surged late as investors began to understand the future importance and potential for their technology. Some of our other winners include NVIDIA (+176%) and Broadcom (+112%). On the short side, our bets against Intel (-59%) and Super Micro (-53% since our recommendation in July) paid handsomely, while we lost 26% in our IBM short recommendation.

Overall, Simian's Recommended Portfolio returned 70.5% in 2024, outpacing S&P's 24% gain and our true benchmarks, S&P 500 Information Technology Index (+39%) and S&P 500 Global Technology 1200 index (++35%).

Our outlook for 2025?  It should come as no surprise to most of our clients that we remain steadfast bulls: whether it's AI, Generative AI, Quantum Computing, Adaptive AI, Robotics, Machine Learning, Crypto/Blockchain, there will be period of accelerated growth, slowdown, re-acceleration, hiccups, and a combination of that with varying cycles for different companies and sectors, but the overall long-term trend continues to remain extremely favorable for the near, medium and long term. 
 
At Simian, we don't make macro calls, but our general view for 2024 was that the underpinnings of U.S. economy remains sound, and variability in interest rates should have only short term impacts on the technology sector, especially for the emerging, faster growing and more nimble participants. Our core view on the favorable economic/macro as well as micro conditions remains the same for 2025, even with the political firestorm and uncertain cloud hanging over the horizon. As such, our portfolio construction for 2025 will remain opportunistic, tactical, and concentrated with slightly higher short position than in 2024, particularly in the first half of the year.  

Since our inception, we have adamantly stayed positive and believe investors should remain overweight tech sector, and by a significant margin. Although some high flying names will disappear from investors' screens in 2025, the sell-offs we continue to experience regularly have been opportunities to add to stellar names in our Simian Recommended Portfolio. Our view for more than a decade has been: the long term prospects for tech and tech investing remains extremely positive and we expect the outsized returns to continue. The strong performance during 2024 continues to prove our point.
 
Where are we investing in 2025 (and beyond): Medium to long-term trends remain the same: Artificial Intelligence, Augmented Reality, Virtual Reality, Robotics, Blockchain/Crypto/NFTs, Electric Vehicles (EVs), Smart(er) homes, Robotics, Semiconductors, and others.

Artificial Intelligence (AI), has become the latest buzzy word. Now seemingly every company, tech or non-tech, is talking about AI and it's impact on their business. For us, this is nothing new. We have been talking about AI, VR, AR, Robotics, and other bleeding edge technologies for nearly a decade now, with a view that they are immature and will take much longer to develop and made into usable platforms and products than most users/investors expect. 

But our view on AI is even broader. The current versions of AI may seem 'raw' and full of hype, but it is one of the most exciting technologies we have seen in four decades and will have a bigger impact in our lives than personal computers, Internet, social media, and smartphones, combined.  
 
Whether 2025 will be another banner year for tech stocks or not, our fundamental approach to the markets and stock selection remains intact: we are finding significant opportunities in the current environment, from emerging technologies to the old guards that have been tossed aside with reasonable valuation, and we have never been more excited.