Portfolio manager Dan Kelley examines how founder-led companies fared in 2020 and how thinking outside the box positions them well in the changing landscape in 2021. Dan manages Fidelity Founders® Class, and notes there is a lot of liquidity driving the markets; however, he tries not to get caught up in the noise, and focuses on finding stocks he believes are mispriced. There are around 700 companies in the U.S. that can be described as “founder-led” – over three times more than in any other country in the world – but Dan continues to look at increasing the international allocation of the Class, which is currently around 12–13%. Dan thinks the economy is likely to accelerate once people feel safe. He expects that we will retain some of the trends we have been using to work from home. For example, travel for work may be minimal, given the demonstrated effectiveness of online meetings.
Recorded on February 23, 2021.