Missing Nvidia, Polen's AUM Plummets Nearly $50 Billion in Four Years

Odaily Planet Daily News Asset management company Polen has become a textbook case, illustrating how missing out on a single big winner during the AI boom can alter a firm's destiny. In just four years, its assets under management (AUM) have shrunk by 60%, decreasing by nearly $50 billion to approximately $33 billion.

Most of the company's six equity mutual funds employ a concentrated portfolio strategy, holding a small number of growth stocks. Its flagship product, the Polen Growth Fund, holds fewer than 30 stocks. The fund did not buy Nvidia (NVDA.O), instead sticking with software stocks like Adobe (ADBE.O), Salesforce (CRM.N), and ServiceNow (NOW.N). In a June 2023 letter to clients discussing Nvidia, Polen wrote, "We believe that virtually all of the company's upside potential that is currently visible has already been priced into the market." Since then, Nvidia's stock has surged nearly 400%.

Meanwhile, the index tracking cloud software companies fell 3% over the same period. It wasn't until late 2025, after Nvidia had already yielded substantial profits for countless investors, that Polen finally changed its stance. The firm acknowledged its previous pessimistic outlook on AI chips was a misjudgment and began buying related stocks. (Jin Shi)