APP - ClearBridge Mid Cap Strategy Q1 2024 Portfolio Manager Commentary

2024-04-10 01:00:00 ET

Summary

• ClearBridge is a leading global asset manager committed to active management. Research-based stock selection guides our investment approach, with our strategies reflecting the highest-conviction ideas of our portfolio managers.
• We trimmed several of our holdings during the period, such as Vertiv, our top performer for the quarter.
• We initiated a new position in PPL, in the utilities sector, which provides electricity and natural gas to approximately 3.6 million customers across Kentucky, Rhode Island and Pennsylvania.
• After four tumultuous years, we are on the precipice of re-entering a more normal economic environment that will favor active managers and fundamental research.

By Brian Angerame & Matthew Lilling, CFA

Mid Caps See Uneven Rally

Market Overview

Equity markets rallied in the first quarter as resilient corporate earnings, continued enthusiasm over artificial intelligence ((AI)) and the prospect of interest rate cuts spurred performance that surprised even the most optimistic investors. While large cap AI beneficiaries led markets, with the Russell 1000 Index returning 10.30% for the period, a broadening of market breadth helped bolster mid caps, with the Russell Midcap Index returning 8.60%. Growth stocks outperformed their value counterparts, with the Russell Midcap Growth Index returning 9.50% versus the 8.23% return of the Russell Midcap Value Index....

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