Why investing in Megatrends makes sense, especially now!

The year 2026 has been strong for our thematic strategies. Both Sustainable World and Global Megatrends have delivered meaningful risk-adjusted alpha. Fondita Sustainable World has year-to-date delivered a return of +18,8 % compared to its unofficial benchmark MSCI World Paris Aligned (+8,7 %). Fondita Global Megatrends has gained +17,7 % in comparison to the unofficial benchmark MSCI World Index of +11,8 %. Healthcare continues to be a lagging sector with Fondita Healthcare still in negative territory for the year.

While supportive market conditions have contributed, we believe the more important explanation lies beneath the surface. The structural drivers behind our investment themes are not only intact—they are becoming stronger, more interconnected, and increasingly visible in company fundamentals.

Megatrends are often discussed as long-term narratives, but what we are currently seeing is a clear shift from expectations to delivery. Across technology, environmental solutions, healthcare and defense, demand is accelerating and translating into tangible earnings growth.

At the center of this development is the rapid expansion of artificial intelligence. AI is no longer a standalone technology theme; it is acting as a horizontal force across multiple sectors. The surge in AI-related investments is driving an unprecedented capex cycle in data infrastructure, which directly benefits companies exposed to semiconductors, cybersecurity and cloud infrastructure, as reflected in the strong performance of holdings such as AMD, Nvidia, Hewlett Packard Enterprises and CrowdStrike.

At the same time, the effects extend well beyond the technology sector. The rapid increase in datacenter capacity is driving demand for electrification, grid infrastructure and energy efficiency solutions, supporting companies such as First Solar, Enphase Energy and Schneider Electric. What was previously largely seen as a policy-driven transition is increasingly also driven by commercial demand.

At the same time, other megatrends continue to be supported by structural drivers independent of the economic cycle. Defense spending is undergoing a sustained step change, particularly in Europe, while in healthcare, innovation cycles remain strong with continued progress in areas such as biotech, diagnostics and treatment development. And the long-term drivers of an aging population, higher living standards and growing need for care are intact.

An important aspect that is sometimes overlooked is that our megatrend approach also provides diversification within growth. While all holdings benefit from long-term structural tailwinds, the underlying drivers differ. The funds are concentrated when it comes to number of holdings but still diversified when looking at sector exposure. This has enabled strong returns at lower volatility. Technology is currently supported by AI-driven demand, defense by geopolitical developments, environmental solutions by both regulation and industrial demand, and healthcare by innovation and demographics.

This breadth has been clearly visible this year. While technology-related holdings continued to perform strongly, other parts of the portfolio have contributed at different points in time, supporting overall resilience.

The strong performance in recent months should therefore not only be seen as a result of market momentum, but as a reflection of improving fundamentals across our investment universe. Companies are delivering, order books are strengthening, and earnings visibility is improving. Of course, we also monitor the concentration risk within the AI trade closely. Enthusiasm has moved share prices in some stocks to levels that leave limited margin for error, and investors should always be prepared for the possibility of a correction should sentiment momentarily shift.

Recent portfolio activity also reflects a disciplined approach to capital allocation. We reduced several positions following strong performance, including AMD, Western Digital, Hewlett Packard Enterprises and First Solar.

We continue to see attractive opportunities within our four megatrends and believe the portfolio is well positioned for the next phase. Valuations in several areas remain reasonable in the context of expected earnings growth, and we see continued support from both structural demand and capital allocation trends.

In our view, investing in megatrends is not about capturing short-term themes, but about identifying areas of persistence and accelerating demand. The developments so far in 2026 reinforce our conviction that this approach remains highly relevant and continues to create value for our investors!

Portfolio Managers
Janna Haahtela and Marcus Björkstén