‘Most businesses would benefit from more intelligence’: Tom Slater

Scottish Mortgage Investment Trust manager Tom Slater explains the fund's long-term strategy of holding dominant growth companies despite market volatility. The portfolio prioritizes businesses with strong structural tailwinds, such as artificial intelligence, digital transformation, and healthcare innovation, rather than attempting to time market cycles. Slater emphasizes the importance of company culture and visionary leadership, citing Meta’s strategic pivot into generative AI and Amazon’s retail efficiency as examples of enduring value creation. While acknowledging geopolitical risks, particularly regarding Chinese investments like PDD, the fund continues to seek out battle-hardened operators capable of scaling in challenging environments. By focusing on free cash flow generation and long-term structural drivers, the fund aims to recover from recent performance dips and capitalize on the next wave of technological progress.