Betting against the consensus
One way to outperform the market is to reduce exposure to its drawdowns, a strategy Blackmore Capital has played well over time. Key to achieving this is to pick stocks with less potential downside than the index, with one source being companies that have been sold off unduly already.
So, when we met with Marcus Bogdan, Chief Investment Officer at Blackmore Capital, we asked him to outline a stock where the consensus view has it wrong. He nominated a misunderstood opportunity from healthcare, a strongly performing sector his fund is overweight, saying that:
“We think they are at the nascent stages of turning around this business, and we remain very constructive around the sector”.