Stocks under pressure with NASDAQ down over 2% due to software weakness and Microsoft down sharply over 10%.
speaker1
speaker2
Market fluctuates daily. Before recent tech earnings, was positive on 2026 seeing rotation away from Mag7 tech names.
speaker2
Meta and Microsoft beat earnings but market reacted sharply and contradictory. AI euphoria isn't over - Mag7 will continue strong earnings growth and impact S&P 500.
Notes guest has been rooting for broadening out trade - small caps, emerging markets - which are working even during NASDAQ sell-off with sectors like industrials, financials, consumer staples, real estate and energy higher.
speaker1
speaker2
Concentrated growth in seven companies is not sustainable and too risky for investors. Neuberger continues overweight small caps.
speaker2
Very constructive on small cap space due to much more attractive valuations. Core equity exposure remains US large cap.
speaker2
At beginning of year, clients should rebalance portfolios and allocate cash opportunistically. Overweight small caps and emerging markets.