General Description

The artificial intelligence boom is transforming global industries, but the most scalable, high-margin opportunity lies in software, which enables enterprise adoption, automates workflows, and delivers recurring revenues. According to Fortune Business Insights, the global Software as a Service (Saas) market will expand from USD 315.68 billion in 2025 to USD 1,131.52 billion by 2032, reflecting a CAGR of 20.0%. Software adoption compounds over time because once integrated into enterprise workflows, it becomes deeply embedded in operations, leading to increased reliance and higher switching costs, which drive recurring revenue and long-term customer retention. The basket is constructed using a market-cap-weighted approach, incorporating caps and floors to balance exposure. Amidst the tariff wars, software industry stocks were less affected, as digital products dont need to be shipped and face no direct tariff impact. The basket has outperformed the index over a 5-year period, yielding an annualized return of 27.8% compared to S&P 500 returns of 13.5%.