As of Q3 2025, Robert Karr’s Joho Capital portfolio demonstrates a major strategic shift with $563 million in total holdings across 9 positions, down from $710 million in Q2. The quarter featured significant portfolio restructuring including complete exits from Adobe and Monday.com, a substantial new Amazon position, and material reductions across Microsoft, Quanta Services, and other core holdings. This defensive repositioning suggests increased caution amid market uncertainty while maintaining concentrated exposure to technology leaders and select growth opportunities.

Q3 2025 sector allocation reflects concentrated technology exposure with strategic cloud infrastructure positioning:

Technology (60.23%) – Microsoft, Amazon, Taiwan Semiconductor, and Amphenol represent the core technology allocation, focused on cloud computing, AI infrastructure, semiconductor manufacturing, and connectivity solutions. This concentration increased from Q2 despite position trims.

Consumer Services (28.88%) – Uber and Dutch Bros provide consumer-facing exposure through mobility/delivery platforms and drive-thru coffee expansion, though both positions were trimmed from previous quarter levels.

Infrastructure (8.58%) – Quanta Services, dramatically reduced by nearly half, maintains exposure to electrical grid modernization and renewable energy infrastructure projects.

Consumer Staples/Retail (0.54%) – Minimal defensive allocation through Procter & Gamble and new Walmart position represents less than 1% of total portfolio value.

Q3 2025 portfolio positioning reveals evolving strategic themes amid portfolio restructuring:

Cloud Computing Dominance – Combined 47.9% allocation to Microsoft and Amazon represents overwhelming conviction in cloud infrastructure and artificial intelligence as the defining technology trend. The dual positioning provides exposure to both Azure and AWS ecosystems.

AI Semiconductor Leadership – Taiwan Semiconductor’s maintained position (12.4%) reflects sustained belief in TSMC’s role as the critical enabler of AI chip production, though Karr chose not to add further to the position this quarter despite market strength.

Selective Consumer and Infrastructure Exposure – Significant reductions in Dutch Bros, Quanta Services, and complete exits from software positions suggest more cautious outlook on consumer discretionary spending and infrastructure investment cycles.

Portfolio Concentration with Risk Management – The 20.7% portfolio reduction alongside major position trims demonstrates active risk management while maintaining concentrated exposure to highest-conviction ideas in technology and cloud computing.

Robert Karr’s Q3 2025 portfolio demonstrates significant strategic repositioning with the total value declining 20.7% to $563 million through a combination of exits, major position reductions, and selective new investments. The complete liquidations of Adobe and Monday.com, alongside dramatic trims in Microsoft (-26.5%) and Quanta Services (-49.2%), signal a more defensive posture and heightened selectivity.

Despite the broad-based selling, Karr’s portfolio reveals clear conviction around cloud computing infrastructure through the dominant Microsoft position (37.6%) and substantial new Amazon allocation (10.3%). Combined, these positions represent nearly half the portfolio and demonstrate unwavering belief in cloud and AI infrastructure as the defining technology megatrend. The unchanged Taiwan Semiconductor position reinforces semiconductor manufacturing as a critical enabler of AI advancement.

The Q3 restructuring suggests Karr is balancing conviction in selected long-term technology winners against increased caution toward cyclical infrastructure plays, consumer discretionary exposure, and software businesses facing AI disruption. With just 9 positions remaining and technology representing over 60% of assets, Joho Capital’s concentrated strategy has become even more focused on cloud computing and AI infrastructure leaders while actively managing position sizes and eliminating holdings that failed to meet investment criteria.