Insights   |   May 9, 2024

Unpacking the Puzzle of the ‘Magnificent 7’

Why investing in monikers like the ‘Magnificent 7’ for AI exposure will only end in tears

Simon Steele
Senior Vice President and Senior Portfolio Manager, Head of Fiera Atlas Global Companies Team

Is every stock that makes up the ‘Magnificent 7’ equally magnificent, or are some more equally magnificent than others? The latter looks increasingly true. For while our obsession with the so-called ‘Mag 7’ creates the illusion of a Big Tech collective, our analysis of consensus earnings expectations reveals a growing performance disparity that puts into question whether ‘magnificent’ is – at least for some of the group – a bit of an overreach.

Original article published by Trustnet.

Related Insights

Insight image for Background image of an orchard for Insight for Investing in Natural Capital Significantly Enhances “Sharpe Ratio”
Insights
January 10, 2025

Investing in Natural Capital Significantly Enhances “Sharpe Ratio”

Exploring natural capital as a low-correlation asset class that boosts portfolio diversification, hedges inflation risks, and enhances Sharpe Ratio.
Matthew Corbett
Partner, Agriculture
Image of Claresholm Solar project financed by Fiera Capital
Insights
November 22, 2024

Private Credit Essentials: Key Insights and Strategies

Learn more about private credit, an attractive and highly versatile asset class, in our latest white paper.
Majlinda Kamberi
Head of Investment Strategies, Fiera Private Markets CIO Office
Stephan Boire
Stephan Boire
Vice President Investment Strategies, Private Markets CIO Office