FMD Capital Management

Posts Tagged: rotation

Sector Rotation: Sell Tech and Buy Energy?

Written by David Fabian, June 15th, 2017

Every year brings with it new challenges with respect to sector leaders and laggards.  This is particularly acute for investors that own individual stocks or that like to add tactical exposure via sector-focused ETFs.  Sometimes you are in the sweet spot and other times you miss the mark entirely.

That scenario perfectly encapsulates the recent divergence between the top and bottom performing sectors this year.  Technology has been the big outperforming growth theme that has been driven by tremendous momentum and enthusiastic sentiment.  Conversely, energy stocks have languished by the wayside as falling oil and natural gas prices weigh on valuation prospects.  Read more