“Industry Perspectives” 4Q 2018
Worries about rising interest rates, the continuing trade friction between the U.S. and China, and geopolitical tensions tempered risk appetites among investors in the 4th quarter. For the first time since The Great Recession of 2008, the S&P 500 Index posted a loss for the year.
In this latest Industry Perspectives, we discuss:
- Machine-trading, models, and passive investing formulas have created a herd
mentality, which in turn contributed to the recent market volatility.
- Companies will have to find other ways to provide earnings growth this year, following 2018’s one-time benefit, produced by the sweeping corporate tax cut.
- The condition of the global economy and the resolution of trade disputes are two critical factors impacting stock prices and the probability of positive returns for 2019 in our view.
We get to know the companies we invest in and learn how they run their business.
Top-Down & Bottom-Up
We identify Top-Down broad, secular growth trends and search for companies from the Bottom-Up.
We construct our portfolios based on our own proprietary investment strategy.
Sticking to our disciplined investment strategy ensures we maintain a consistent, balanced approach.
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