Firsthand Technology Value Fund SVVC

Firsthand Technology Value Fund, Inc. is an externally managed, closed-end, non-diversified management investment company organized as a Maryland corporation that has elected to be treated as a business development company (BDC) under the Investment Company Act of 1940. The fund seeks long-term growth of capital principally through capital gains on equity and equity-related investments in technology and cleantech companies. Under normal circumstances, at least 80% of its net assets are invested in technology companies, defined as those deriving at least 50% of their revenues from the information technology or cleantech sectors.

The company generates revenue primarily through interest and dividend income on its investment portfolio, as well as realized gains from the sale of investments. Investment income includes interest accrued on money market investments and adjustments to interest on convertible or term note investments. Revenue is also derived from prepayment premiums on loans and debt securities, and loan origination fees are capitalized and amortized as interest income over time. The fund does not engage in operational business activities but relies on the financial performance of its portfolio companies to generate returns.

The company operates through the following segments:

• Advanced Materials: This segment includes investments in companies focused on innovative materials science and engineering applications. These investments support the development of high-performance materials used in electronics, energy storage, and industrial processes. The portfolio allocation to Advanced Materials represented 31.6% of the total investment portfolio as of June 30, 2026.
• Medical Devices: This segment comprises investments in companies developing diagnostic, therapeutic, and monitoring technologies for healthcare applications. Investments in this area target innovations in patient care, medical imaging, and minimally invasive procedures. The Medical Devices segment accounted for 0.8% of the portfolio as of June 30, 2026.
• Investment Companies: This segment includes holdings in other registered investment companies or funds, providing indirect exposure to diversified investment strategies. As of June 30, 2026, this segment represented 0.9% of the total portfolio, down from 23.9% as of December 31, 2025, reflecting a strategic reduction in fund-of-funds exposure.

Firsthand Technology Value Fund, Inc. operates as a specialized BDC with a focused investment mandate in technology and cleantech sectors, distinguishing it from broader investment funds. The company competes with other business development companies and venture capital funds that target early-stage and micro-cap technology firms. Its competitive advantage lies in its external management by FCM, which sources investments through direct private placements, secondary market transactions, and negotiations with selling shareholders. The fund’s ability to invest in illiquid private securities and its disciplined valuation process under board oversight support its positioning in the niche market of technology-focused BDCs.

The company serves institutional and accredited investors seeking exposure to private technology and cleantech companies through a publicly traded vehicle. Its shareholders include individual retail investors, family offices, and institutional participants interested in long-term capital appreciation from venture-capital-style investments. The fund does not disclose specific customer names in its public filings, but its investor base consists of those seeking alternative investment opportunities in high-growth, early-stage technology sectors.