Tom Russo’s Semper Vic Continues to Outperform, Warns About FOMO Amid AI Gold Rush [Q1 Letter]

Tom Russo’s Semper Vic Partners continues to slay the markets despite the turmoil with a blistering 14% return year to date through May 15. The Dow Jones Industrial Average was flat, while the S&P 500 gained a mere 1.1%, and the MSCI All Country World Index rose 5%.

Also see Secrets to Tom Russo’s Decades-Long Success - A Four Part Series

For the first quarter, Semper Vic was up 6.6%, versus declines of 0.9% for the Dow, 4.3% for the S&P, and 1.2% for the MSCI index. Cumulatively since July 1990, the firm has gained 4,062.5% for a compound annual return of 11.3%, which outperforms the Dow’s 10.5% compound annual return, the S&P 500’s 10.4% compound annual return, and the MSCI All Country World Index’s 8% compound annual return over the same period.

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Picks and shovels for AI

In his May letter to investors, which was obtained by Hedge Fund Alpha, Russo reported robust results from Semper Vic’s portfolio companies. He said companies like NIVIDIA now seen as one-way investments to provide tools for artificial intelligence have been transformed into pick-and-shovel plays akin to the companies that once served the California gold rush.