Rethinking big tech risk

The success of US-based megacap technology companies has led to increased market concentration, with concerns over a potential AI-bubble ongoing. When it comes to concentration and diversifation, investors should look beyond superficial measurements to understand their current risk level. Read this article for insights from Loomis Sayles’ Growth Equity Strategies team, who discuss: • Whether concentration is always bad and the two main concerns investors have • If markets are concentrated in too few stocks • How investors can optimise risk and reward through active concentration ...