Columbia Threadneedle Investments, an investment management company, released its “Columbia Seligman Global Technology Fund” second quarter 2026 investor letter. A copy of the letter can be downloaded here. During the quarter, the Fund’s Institutional Class shares returned 50.34%, outperforming the MSCI World Information Technology Index’s 33.65% gain. Stock selection in semiconductors, technology hardware and software, together with an off-benchmark electrical equipment allocation, supported relative performance, while exposure to financials, consumer discretionary and healthcare detracted. Technology stocks rallied as concerns over the Iran conflict eased and AI infrastructure spending boosted demand for semiconductors, memory, networking, servers and power solutions. The Fund expects AI and data-centre investment to remain strong, supported by broadening earnings growth and improving software bookings, cloud consumption and customer spending. However, geopolitical uncertainty, higher interest rates and heavy AI investment could pressure valuations and free cash flow. The strategy holds 50–75 technology companies across market capitalisations and uses bottom-up GARP research to identify misunderstood and undervalued businesses in the technology industry. In addition, please check the Fund’s top five holdings to know its best picks in 2026.
In its second-quarter 2026 investor letter, Columbia Seligman Global Technology Fund highlighted Teradyne, Inc. (NASDAQ:TER). Teradyne, Inc. (NASDAQ:TER) engages in the design, development, manufacture, and sale of automated test systems and robotics products. On July 29, 2026, Teradyne, Inc. (NASDAQ:TER) closed at $319.41 per share. One-month return of Teradyne, Inc. (NASDAQ:TER) was -13.46% and its shares gained 197.32% over the past 52 weeks. Teradyne, Inc. (NASDAQ:TER) has a market capitalization of $50 billion.
Columbia Seligman Global Technology Fund stated the following regarding Teradyne, Inc. (NASDAQ:TER) in its Q2 2026 investor letter:
“The portfolio maintained an overweight in semiconductor chip-testing company Teradyne, Inc. (NASDAQ:TER), whose stock rose during the quarter on the back of improving semiconductor industry sentiment, expectations for a broader recovery in test spending and confidence that Teradyne is well-positioned to capitalize on rising complexity in next generation processors.”
Teradyne, Inc. (NASDAQ:TER) is not on our list of the 40 Most Popular Stocks Among Hedge Funds. As per our database, 80 hedge fund portfolios held Teradyne, Inc. (NASDAQ:TER) at the end of the first quarter which was 77 in the previous quarter. While we acknowledge the risk and potential of Teradyne, Inc. (NASDAQ:TER) 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 Teradyne, Inc. (NASDAQ:TER) and that has 10,000% upside potential, check out our report about this cheapest AI stock.
In another article, we covered Teradyne, Inc. (NASDAQ:TER) and shared a list of best stocks to buy for the second half of 2026. In addition, please check out our hedge fund investor letters Q2 2026 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
