Fidelity Global Innovators® Class portfolio manager Mark Schmehl notes that the market is now broadening out with economies reopening and vaccine rollouts. There is a lot of money in consumer’s wallets and pent up demand. As the market shifts gears, Mark’s portfolios are also shifting gears and are looking very different than they did three and six months ago. Mark views innovation as change and looks for companies seeking to change the way they do business and adapt to changing environments. He currently owns more value than he has in years because he believes earnings growth could be great in the next two to three years. He also likes out of favour sectors that no one is talking about, and opts towards these because as they transform, he has potential to profit. Mark also has a lot of environmental exposure in his portfolios. He believes there is a huge fundamental environmental problem (with massive political will to make change happen) and that the demand for green infrastructure will be a huge market.
Recorded on March 24, 2021.