My growth focus paid off

Within my SIPP, I own a mix of passive index trackers, actively-managed funds, thematic exchange-traded funds (ETFs), and individual stocks. My mind is predominantly on growth-focused investments as I have plenty of time until retirement (I’m still in my mid-40s).

This diversified growth focus paid off in 2025. In terms of individual stocks, the star of the show was Google owner Alphabet. This was a large holding in my SIPP at the start of the year and over its course, it rose around 60% – significantly boosting my overall balance.

Another substantial holding in my portfolio that did well was Nvidia. It jumped about 40%. Zooming in on actively-managed funds, Blue Whale Growth was another standout performer. It returned more than 25% for the year, thanks to its focus on the artificial intelligence (AI) buildout.

As for ETFs, the star here was defence- and cybersecurity-focused HANetf Future of Defence UCITS ETF. This returned about 40% as the defence theme came into sharper focus.

I’ll point out that when stocks pulled back in April, I aggressively invested in a lot of these assets (and others). This really helped my performance. When stocks rebounded in Q2 and Q3, the value of my portfolio surged.

I was able to do this as I always keep a bit of cash on the sidelines in preparation for a market pullback. That way, if attractive opportunities arise, I’m ready to capitalise.

My strategy for 2026

As for my strategy for 2026, I’ll still be focusing on long-term growth. I’m still bullish on themes like technology and AI so I’ll continue to hold onto names like Alphabet and Nvidia.

However lately, I’ve been diversifying my portfolio a little more so it’s a little less tech heavy. For example, I’ve been adding to funds that focus on European and healthcare stocks.

Given the recent strong performance of the market, I’ve also been banking some profits to build up my cash pile. This cash is sitting in a short-term money market fund (earning around 4%), ready to deploy if the market pulls back and better buying opportunities arise.

In terms of stocks I’d like to buy for my SIPP, one name I’ve got my eye on is BWX Technologies (NYSE: BWXT), an American company that specialises in nuclear power components.

Across the world today, both governments and companies are embracing nuclear power. And this stock looks like the ideal way to play the theme, in my view.

It’s worth noting that in October, the company signed a multi-million deal with Rolls-Royce for Small Modular Reactors (SMRs). This deal is an example of how BWX is positioned to be an enabler of nuclear reactors around the world.

Today, this stock looks a little expensive. Currently, the price-to-earnings (P/E) ratio is about 40. That valuation doesn’t leave any room for error. For example, if contracts don’t come through, the stock could underperform.

If the stock was to come down by another 20% or so though, I’d be tempted to buy. I think it could be a good portfolio diversifier for me.

The post How I generated a 20%+ return in my SIPP in 2025 (and my strategy for 2026) appeared first on The Motley Fool UK.

Looking for the next Nvidia? That could be challenging as stocks like this are rare, but here are three shares with significant potential to check out.

Exploring Nvidia’s success

Before I list the stocks, it’s worth quickly exploring Nvidia’s success. What has driven it?

Well, in short, it’s had market-leading products (chips) in a huge growth industry (AI). This had led to spectacular revenue and earnings growth.

The low-altitude economy is about to take off

Looking at things through that framework, one stock worth highlighting is Joby Aviation (NYSE: JOBY). It’s a leader in all-electric, vertical take-off and landing (eVTOL) aircraft (aka ‘flying cars’).

This stock is insanely speculative. Because right now, flying cars aren’t exactly a mainstream concept.

But things could change quickly. In the years ahead, the ‘low-altitude economy’ (activity below 1,000 metres) is projected to see enormous growth. According to Business Aviation, the industry could be worth $41.5bn by 2035.

It’s worth noting that Joby – which is heavily backed by Toyota – has a working product called the Joby S4. This is an air taxi designed to carry four passengers.

Now, the valuation here is crazy. Currently, it has a market cap of $15bn but a 2026 sales forecast of just $53m.

Still, I think it could be worth a look as a highly speculative investment. In the long run, it could deliver explosive returns.

The nuclear industry is booming

Another industry that looks set to boom in the years ahead is nuclear energy. Today, both governments and companies are looking at nuclear as an alternative to fossil fuel energy.

A stock in this industry that looks interesting to me – and is flying right now – is BWX Technologies (NYSE: BWXT). It’s a specialty manufacturer of nuclear components.

This company offers products for small modular reactors (SMRs) and advanced reactors, naval nuclear reactors, nuclear fuels, and more. So, it could potentially play a major role in the nuclear revolution.

One thing I like about it is that it’s already profitable. This reduces risk for investors.

It’s still risky as there are no guarantees that nuclear energy will take off. Still, I think it’s worth a closer look today.

An autonomous driving and humanoid robotics play

Finally, check out Hesai Group (NASDAQ: HSAI). It’s a global leader in LiDAR technology.

Looking ahead, this company appears well positioned to benefit from the growth of two industries – self-driving cars and humanoid robotics. Over the next decade, these industries are expected to explode.

Note that today, the company has partnerships with businesses in both of these industries. And it’s already seeing huge revenue growth.

This stock is really risky as it’s a Chinese ADR. So, risks include restrictions on the use of its products in the US and the possibility of a US de-listing.

I think it looks really interesting, though. I bought a small position myself recently as a ‘moonshot’ growth stock and I think it’s worth a look.

Big potential

I’ll point out that I don’t expect any of these companies to become the largest in the world, like Nvidia has. But, taking a long-term view, I see the potential for substantial gains.

The post Looking for the next Nvidia? Here are 3 exciting growth stocks to check out appeared first on The Motley Fool UK.