The technology sector is packed with opportunities, but it’s also easy to get caught up in overexposure to certain industries—especially semiconductors. With ETFs like QQQ becoming increasingly top-heavy in the MAG 7, building a well-balanced portfolio is not easy.
In this article, I present my best attempt at a Diversified Tech Portfolio in 2025. In my opinion, it delivers 10 stocks (plus a bonus) that limit industry risk while still delivering high growth potential.
Portfolio Objectives
Before diving into stock picks, let’s set some ground rules:
✔️ Tech-Focused – We’re building a tech-heavy portfolio but limiting industry overexposure. Semiconductors, for example, won’t dominate.
✔️ Beat the XLK – The Technology Select Sector SPDR ETF (XLK) is our benchmark. We aim to outperform it annually.
✔️ Sector Exceptions Allowed – Not every stock needs to be classified under “Technology.” Some companies, like Meta (Communication Services) or Booking Holdings (Consumer Discretionary), are deeply tied to tech but exist outside the sector.
✔️ Equal-Weighted – Unlike QQQ, which is top-heavy with Apple and Microsoft, this portfolio spreads investments evenly across all 10 stocks.
Stock Picks: A Balanced Tech Portfolio
I divided my picks into five key categories: Hardware & Infrastructure, Software, Consumer Tech, Financial Tech, and MedTech.
1. Hardware & Infrastructure
These companies provide the backbone of modern technology.
✅ Nvidia (NVDA) – The undisputed AI and semiconductor leader. While some say it’s overvalued, Nvidia is positioned for massive growth over the next 5–10 years.
✅ ASML (ASML) – The hidden giant of semiconductors. ASML builds the high-end lithography machines that every major chipmaker (including Nvidia) relies on. Including it diversifies our chip exposure beyond just Nvidia.
✅ Microsoft (MSFT) – Instead of Amazon (AMZN), I’m choosing Microsoft as the cloud computing play. Microsoft’s Azure cloud services dominate the enterprise market and provide more stability than Amazon’s consumer-driven model.
2. Software & Cybersecurity
Essential services that power businesses globally.
✅ ServiceNow (NOW) – A leader in enterprise automation and cloud-based workflow solutions. ServiceNow continues to expand its reach in corporate IT, making it a solid long-term investment.
✅ CrowdStrike (CRWD) – Cybersecurity is non-negotiable. CrowdStrike’s AI-driven threat detection is a must-have for companies, and its double-digit revenue growth shows no signs of slowing. While Palo Alto Networks (PANW) was a strong contender, I gave CrowdStrike the edge.
3. Consumer Tech
Despite market volatility, consumer spending drives tech growth.
✅ Netflix (NFLX) – Streaming is the new cable. Netflix continues to raise prices, dominate global markets, and expand into live sports and special events. It’s a cash machine with global expansion potential.
✅ Meta (META) – Love it or hate it, social media isn’t going anywhere. Meta has successfully monetized its platforms while investing heavily in AI and the metaverse.
✅ Booking Holdings (BKNG) – While not a “tech stock” by definition, Booking.com is the dominant online travel platform. Travel spending remains strong, and Booking’s AI-powered search and booking system gives it a massive advantage.
4. Financial Tech
A sector that blends technology and financial services.
✅ Visa (V) – The ultimate digital payments powerhouse. Visa operates purely on transaction volume, meaning it benefits regardless of interest rates or consumer debt.
5. MedTech
The intersection of technology and healthcare is a high growth frontier.
✅ Intuitive Surgical (ISRG) – The leader in robotic-assisted surgery. As AI and automation revolutionize healthcare, Intuitive Surgical is at the forefront. Long-term potential is massive.
Bonus Pick: Bitcoin?
While not included in the official 10-stock lineup, Bitcoin (BTC) deserves a mention. If you’re considering an even broader tech-diversified approach, holding a small percentage of Bitcoin could be a smart hedge.
Weighting & Portfolio Strategy
Because this is an equal-weight portfolio, every stock gets an equal allocation. However, some stocks, like Booking Holdings (BKNG) and ServiceNow (NOW), have high share prices. If you’re starting with a smaller investment, fractional shares may be necessary to balance the portfolio properly.
I’ve already loaded this portfolio into Seeking Alpha Premium, and I’ll be tracking its performance over time to compare it with XLK.
Why This Portfolio Could Work…
Unlike QQQ or Mag 7 ETFs, which are over-concentrated in a few names, this portfolio:
✔️ Reduces risk by diversifying industries (e.g., semiconductors, cybersecurity, MedTech, payments).
✔️ Balances enterprise-focused and consumer-driven companies.
✔️ Includes top-tier companies with strong earnings growth.
✔️ Targets high-growth areas like AI, cloud computing, and digital payments.
If you’re looking for a more balanced, high-growth alternative to traditional tech ETFs, this 10-stock portfolio is worth considering.