VRT - ClearBridge Select Strategy Q2 2024 Commentary
2024-07-19 02:15:00 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.
- Renewed leadership by the Magnificent Seven coupled with weakness among our technology, industrials and consumer staples names weighed on relative performance.
- The Strategy has exposure to mega caps and we allow that these companies are likely to be the most immediate winners in the AI race. Yet, we also see opportunities to deliver differentiated performance among smaller cap names that constitute the majority of our portfolio.
- We believe ongoing monitoring of existing holdings is just as important to long-term value creation as researching new ideas. Revisiting the investment thesis for several holdings during the quarter caused us to be disciplined sellers, eliminating 10 positions.
By Aram Green
Refreshing Portfolio for Eventual Rotation
Market Overview
Equity leadership narrowed considerably in the second quarter, with a surge by mega cap growth stocks obscuring weakness across most of the market. The S&P 500 Index ( SP500 , SPX ) rose 4.3 for the period, while the benchmark Russell 3000 Index advanced 3.2%. By comparison, the small cap Russell 2000 Index ( RTY ) was down 3.3% for the quarter while the small and mid cap focused Russell 2500 Index declined 4.3%....
ClearBridge Select Strategy Q2 2024 Commentary