By Ben McPoland
Publication Date: 2026-05-08 07:17:00
Chip stocks Nvidia and Taiwan Semiconductor (TSMC) have been pretty hot. But nowhere near Micron Technology and Advanced Micro Devices (AMD), which have been hotter than the sun’s surface.
In just the past month, Micron and AMD are up 77% and 88% respectively. So it’s no surprise to see them and Nvidia represent three of the four most-bought stocks on AJ Bell in the last 24 hours.
The reason, of course, is that there’s a memory chip shortage due to sky-high demand from the artificial intelligence (AI) infrastructure buildout. And due to this, the profits at these chip firms are going through the roof, with no sign of the shortage ending anytime soon.
For investors who are unsure which chip stock to buy, the following investment trust holds all the big names and is trading at a sizeable discount to its underlying net asset value (NAV).
All-in
Manchester & London Investment Trust (LSE:MNL) is a £362m-cap business that’s gone all-in on this AI theme. Led by manager Mark Sheppard, it’s made a big bet that almost all of the value will go towards AI hardware companies rather than software or anywhere else.
As such, it has had a massive portfolio weighting towards Nvidia (42% last month), Broadcom (11%) and TSMC (10.3%). These helped drive a 21.6% total return in April, thrashing the Nasdaq 100‘s 12.6%.
The trust’s three-year share price return is now an excellent 166%, while the 10-year NAV return is 449%. Since the management team took…
