We continue to base our core positioning on innovation, secular growth, and technology leadership, but we enter a more vigilant phase of the cycle. We believe the macro regime remains constructive enough to reward a tilt toward technology and information services—yet vigilance is warranted.

China’s recent escalation of rare-earth export controls underscores its dominance in global technology and defense supply chains. The United States and its allies are accelerating efforts to secure mine-to-magnet capacity, yet remain dependent on China for several heavy rare earths.

“Don’t fight the Fed, and don’t fight the tape” were truisms that guided my early investment career at Kidder Peabody & Co. in the mid-1980s.