Nomura’s Tech Fund Defies AI Bubble Concerns, Highlights Growth Potential
Nomura's leading technology fund has dismissed mounting fears of an AI market bubble, asserting that sector stocks retain significant growth potential. The fund's stance comes as Nvidia's market capitalization breaches the unprecedented $5 trillion threshold—a historic milestone for any corporation—fueled by global AI adoption.
Despite seven major tech firms now comprising over a third of the S&P 500, sparking overheating concerns, fund manager Fukuda maintains the AI sector shows no bubble characteristics. His conviction is backed by performance: the Nomura fund delivered 49% total returns through November 6, outpacing both the Topix index (22%) and Topix Electric Appliances Index (30%), while eclipsing the Nasdaq Composite.
Fukuda draws sharp contrasts with the dot-com crash era, noting today's tech leaders differ fundamentally from the unprofitable telecom infrastructure startups of 25 years ago. The fund's success underscores institutional confidence in AI's sustained growth trajectory amid market skepticism.