Scottish Mortgage Investment Trust PLC's (LSE:SMT) focus on US technology companies came back to bite on Monday following confirmation of sweeping tariffs under Donald Trump.
Shares dropped 4.3% to 1,039p as US stocks approached Monday’s trading well on the back foot in response to news of the levies against Canada, Mexico and China.
Trump had firmed these up on Saturday, leaving goods from the US’ neighbours facing 25% tariffs from Tuesday, as 10% levies hit Chinese imports.
The trio subsequently pledged to respond, leaving fears over the impact of a trade war on US inflation and economic growth ahead.
Amazon.com Inc, Meta Platforms Inc, Nvidia Corp and Tesla Inc, which are among Scottish Mortgage’s top holdings, all dropped in pre-market trading.
Taiwan Semiconductor Manufacturing Co Ltd and ASML Holding NV, among other key portfolio stocks, also slipped on Monday, by 2.5% and 5.7% respectively, as did major Chinese holdings Meintuan and PDD.
Scottish Mortgage's top 15 holdings (percentage of portfolio)
- Space Exploration Technologies (7.5%)
- Amazon.com (6.3%)
- Mercadolibre (5.1%)
- Meta Platforms (4.6%)
- NVIDIA (4.1%)
- Taiwan Semiconductor Manufacturing Co (4.0%)
- Ferrari (3.1%)
- PDD Holdings (3.0%)
- ASML (2.9%)
- Spotify (2.8%)
- BytdeDance (TikTok) (2.8%)
- Meituan (2.7%)
- Wise (2.5%)
- Shopify (2.5%)
- Tesla Inc (2.0%)