For me saying, “I’m a growth investor”, is just a lazy way of saying, “I can’t overcome my recency bias.”
How is it not?
There’s a time and a place for everything right? I mean, we’re even buying Gold and Gold Miners these days, a far cry from the “Stay away at all costs” mentality that we’ve had towards those useless rocks since last August.
Same with Growth stocks. They had been the place to be for a long time, ESPECIALLY when compared to Value sectors like Energy, Materials and Bank stocks!
That all changed last September.
It’s a Value World now my friends:
We saw a little bounce back towards that broken support in the Mega-cap Growth names. But when you look down the cap scale towards small-caps, that bounce in growth was much more muted.
When looking Internationally, again, it’s the countries with higher exposure to Value (and lack of Tech) that have been performing the best.
There’s no such thing as a “Growth Investor”. There are stubborn people. That will always be the case. There are confused people. Again, they will always show up.
But as investors, it’s up to us to adapt to the market environment.
If you can’t, you will lose. I promise.
We do our best here to recognize what type of market we’re in, and then choose the best tools and strategies to take advantage of those circumstances.
We’ve found that to be a MUCH better approach than randomly selecting a “strategy” and always trying to force that upon the market, regardless of the conditions.
That’s just silly.
Life is better that way.