Janus Henderson Investors, an investment management company, released its first-quarter 2026 investor letter for the “Global Sustainable Equity Fund”. A copy of the letter can be downloaded here. In the quarter, the Fund returned -3.07%, slightly better than the MSCI World Index’s -3.57%. Strong stock selection in information technology, especially companies tied to artificial intelligence (AI) infrastructure, supported the relative performance. However, holdings sensitive to AI disruption fears underperformed, and minimal energy exposure also impacted results. The year began positively, but a sharp decline followed, largely due to the conflict between the U.S. and Israel with Iran, as well as concerns about AI disruption and overinvestment. Despite this volatility, energy emerged as the only strong performer. The firm remains committed to investing in companies with pricing power, durable franchises, and long-term themes that can withstand volatility and grow over time. For insights into their key selections for 2026, please review the Strategy’s top five holdings.
In its first-quarter 2026 investor letter, Janus Henderson Global Sustainable Equity Fund highlighted Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) as a top contributor to performance. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is the world’s leading contract chip manufacturer, producing advanced semiconductors for major global technology companies. On June 24, 2026, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) closed at $440.83 per share. One-month return of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) was 4.54%, and its shares gained 98.27% over the past 52 weeks. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) has a market capitalization of $2.29 trillion.
Janus Henderson Global Sustainable Equity Fund stated the following regarding Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) in its Q1 2026 investor letter:
“At the stock level, the largest contributors to relative performance included Keysight, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), and Boralex. TSMC’s stock price rallied due to continued strong earnings, reflecting its pivotal role in the AI-capex cycle. Its dominant market position, exposure to major AI-chip players – including graphics processing units (GPUs), application specific integrated circuits (ASICs), and custom silicon – reinforced its status as a long-term winner from the AI revolution. The company’s leadership in advanced process nodes and cutting-edge packaging technologies has cemented its position as AI chipmakers’ foundry of choice, as well as a driving force behind global productivity improvements.”
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) is in 6th position on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 234 hedge fund portfolios held Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) at the end of the first quarter, up from 224 in the previous quarter. In Q1 2026, Taiwan Semiconductor Manufacturing Company Limited’s (NYSE:TSM) revenue increased 6.4% (in U.S. dollar terms) sequentially to $35.9 billion, exceeding the guidance. While we acknowledge the risk and potential of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) and shared the list of stocks that will skyrocket. In addition, please check out our hedge fund investor letters Q1 2026 page for more investor letters from hedge funds and other leading investors.
READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years.
Disclosure: None. This article is originally published at Insider Monkey.
