Growing a Client’s Portfolio with High-Conviction Positioning

Investors are entering 2022 with stocks at or near all-time highs—up over 100% from the market bottom in the U.S., for example. Kickstarted by an unprecedented fiscal and monetary stimulus and sustained by rising investor exuberance—e.g., special purpose acquisition company (SPACs), IPOs, and meme stocks—sharp gains across risk assets such as equity and credit have left investors with only a small number of investment opportunities. That requires an increasingly focused approach to portfolio construction.