In a recent blog article entitled “A portfolio manager’s dilemma”, our Chief Investment Officer Guy Wagner raised the topic of the eternal dilemma a professional fund manager faces. It basically comes down to the decision between two approaches: playing the relative performance game by buying stocks that are currently favoured by investors, with the risk of not getting out in time, or playing the long game and sticking to a proven methodology that is currently underperforming, with the risk of losing clients before the market turns. From the perspective of an equity fund manager at BLI, the question should not even arise. We see no alternative to the latter approach.
Read the article on BLI - Banque de Luxembourg Investments website