I’m cleaning up the kitchen and listening to Cathie Wood in the background.Josh (don’t know his last name ) asks her a direct concise Fama-French question regarding Inflationary markets and historical Value vs Growth rotation within rising rate environments….and she goes on to cite Wright’s Law (precursor to Moores Law) which she never states by name. While her rambling dissertation after may have gotten her an A in an academic environment (trying to draw a correlation between innovation and the doubling of production reduces costs X%) She did nothing to address:

1. Josh’s question
2. Provide guidance to soothe her investors they have a steady hand at the wheel and why they should stick with her given the present market environment / and rotation.

I don’t believe I am being harsh, Cathie may be brilliant for all I know, but she has no grasp that this is peoples hard earned monies they have invested with her, and she did nothing to comfort them during the interview (tone deaf) that her funds can rebound (or at least hit a floor) in this present environment when she has such high concentration in out of favor stocks.

I suppose their are those who can afford to have dead monies for an unknown number of years willing to ride it out to see if her thesis proves out. – But she should at least be honest and have stated that those unwilling should not invest in these funds. I’ve met a lot of Cathie Wood’s in my investment lifetime – It never ends well for the retail investor. Will stick within my little sphere of competence and employ my version of the Geraldine Weiss Approach – Dividends don’t Lie

– Scoot

“The best investments have a considerable margin of safety. This is Benjamin Graham’s concept of buying at a sufficient discount that even bad luck or the vicissitudes of the business cycle won’t derail an investment. ”- Seth Klarman


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