BlackRock Science and Technology Term Trust on Lumentum
Thesis
Lumentum represented 4.0% of net assets and was one of BSTZ's ten largest holdings. BlackRock sees AI infrastructure and AI model companies as core portfolio pillars as deployment accelerates beyond the initial infrastructure buildout. The fund is targeting hardware, infrastructure and enabling technologies benefiting directly from expanding AI workloads where valuations may not yet reflect potential multi-year growth.
“We are selectively increasing exposure to companies with AI monetization and competitive advantages”
Key risks
- General changes in market sentiment toward science and technology companies
- Science and technology companies may underperform the broader market