2024-08-09 04:40:00 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.
- The All Cap Value Strategy outperformed its benchmark, as strong stock selection in the information technology and consumer discretionary sectors overcame weakness in our consumer staples stocks.
- Despite broad market increases, market breadth is abysmal, as the demand for AI companies is starving the rest of the market and spurs questions as to how and when leadership reverses.
- While we have exposure to AI, we have taken a more calculated approach via position sizing and choosing small and mid cap beneficiaries with lower valuation risk than the mega cap tech cohort.
By Reed Cassady, CFA, Albert Grosman & Sam Peters, CFA
AI Mania Hides Smaller Cap Carnage
Market Update
Although extreme market concentration and lack of breadth in broad U.S. equity indexes, driven by the ascendance of mega cap tech levered to AI, is proving frustrating for diversified investors, it is also creating immense opportunities for those that remain true to an economically grounded valuation process - like we do....
Read the full article on Seeking Alpha
For further details see:
ClearBridge All Cap Value Strategy Q2 2024 Commentary
