The market has handsomely rewarded the riskier fare, including small, leveraged, non-dividend-paying, and highly-cyclical companies.
Over the last six and twelve-month periods, our portfolios have outperformed their benchmarks by 5.3% and 4.0%, respectively.
Unity and bond buying by the ECB are not a stagnation panacea.
Why, after all, are we more conservatively positioned at this time?
That’s our overarching goal: keep pace during strong years and earn our keep during flat or down markets.
Benchmark obsession undermines investor returns…
Central bank and other government intervention, while welcomed, also changes the game of risk management.