Early in my investment management career, I was taught to design long-term investment portfolios as a pyramid. A solid foundation of secular and structural positions, with a much smaller opportunistic and tactical top. In other words, construct a durable structure that could mostly resist unsettling market volatility and navigate economic and geopolitical shakes.
Today, this once-reassuring construction seems to have become gradually inverted: a shrunken secular and structural base now has to support a larger opportunistic and tactical top. It is one that, having proved extremely resilient, is now fuelling a debate between those worried about bubbles and those comfortable that structural reinforcements are just around the corner. Secular investments play out over time, powered by a maturation of the underlying return drivers that provide for greater investor adoption. It is the sort of process that is now being demonstrated by artificial intelligence-focused chipmaker Nvidia, which has become the market’s darling. The underlying driver there is the potential for large-scale application of an innovation in which the company holds a dominant role at present. The turbo charger of its stock price is the change in its shareholder base from a few highly sophisticated investors to wider buying by the investing public
South Africa South Africa Latest News, South Africa South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Scottish land market showing signs of investment slowdownTHE Scottish land market is showing signs of a slowdown after a substantial increase in its value in recent years - due to demand from commercial…
Source: SunScotNational - 🏆 49. / 63 Read more »
Source: TheRegister - 🏆 67. / 61 Read more »
Source: OilandEnergy - 🏆 34. / 68 Read more »
Source: ShropshireStar - 🏆 98. / 51 Read more »
Source: TheEconomist - 🏆 6. / 92 Read more »
Source: nottslive - 🏆 96. / 52 Read more »