Build Focused Portfolios That Beat The Market: Dreifus

One of the most notable characteristics of the last decade was the wide divergence in market performance. We have reported many times on the narrow group of superstars, mainly large-cap U.S. tech stocks and the much wider universe of laggards, value and small-cap stocks in particular.
In 2020 that divergence blew up. Small-cap went from worst to first. The year began disastrously. Small-caps ended the year with their best quarterly gain ever, a stunning 31% advance in the index, handily beating large-caps for the quarter.
When it was all over the Russell 2000 had gained 101.3% from its March 18th low to year-end, although it lagged large-cap and tech for the entire year.
We have a WEALTHTRACK exclusive this week with an investment legend whose specialty is in-depth financial analysis in the small-cap universe. He is Charlie Dreifus, lead portfolio manager of the Royce Special Equity Fund
Before delving into small-caps I asked Dreifus to share his perspective on current market conditions based on his half-century of managing money. A hint: he told me "I've seen this movie before, and it doesn't end well."
00:00 Hello
01:05 Introduction
03:13 Interview with Charles Dreifus
23:06 "One Investment" INVESTMENT RETURN BOOSTER
25:20 "Action Point" TAKE SOME RISK OFF THE TABLE
WEALTHTRACK #1732 broadcast on February 05, 2021
More info: wealthtrack.com/royce-special...

[@jackburton806]

Mr Dreifus has a market perspective and sticks to it. His mutual fund consistently beats the benchmarks he is compared to but when you subtract the expenses he is just keeping pace with those benchmarks. The advice is sound but if you don't mind volatility and aren't stupid and sell when everyone is jumping out of the window and panicking then you will also do well. I have been investing without the help of an advisor for over 40 years. Mostly mutual funds, some individual stocks and a growing bond/cash position the older i get. I don't mind it when the market crashes. Stuff is going on sale and when times are flush I skim off the top of the winners and put that money into cash. And for goodness sake ignore the bots on this comment board telling you to get into crypto.

[@wholeNwon]

Index broadly, cheaply, tax-efficiently (e.g. ETFs), reinvest dividends when paid and NEVER sell. Do not listen to talking heads, brokers, analysts or other fortune tellers. Check your accounts regularly...about once per year, usually at tax time. Then enjoy your life. The DATA are absolutely unequivocal that this approach will provide the greatest likelihood of long-term investing success that can be achieved in the financial markets.

[@vandijk1698]

@@wholeNwon True if you don't want to put in a lot of work. If you enjoy researching and actively managing your portfolio you can easily outperform indexes and ETF's.

[@wholeNwon]

@@vandijk1698 No. The probability of doing that successfully over an investing lifetime approaches zero. Of course, people who do that will have periods (often years) of relative "out-performance". But, over a lifetime of exposure to equities, it is virtually impossible. The data have been available for generations and are unequivocal. I say this as what is usually referred to as an "ultra-high net worth" individual with a 50+ year history of investing. Believe what you will but the facts are otherwise.

[@jamesnatalya8265]

Wow😮, amazing to see fellow investors of Rio Smith. Am on my 7th trade with him. His strategies has no rivalry👌

[@edwardhayes6111]

Mr Dreifus is highly intelligent, knowledgeable, and insightful expert. I am going to heed his advice.

[@WhittyPics]

I took my iPad into Best Buy this week and one of the techs kept talking about owning GameStop along with other market bubble stocks. It seems like a sure sign of a bubble when out of nowhere you get financial advice from someone working at Best Buy. This guy reminds me of the late Sir John Tempelton.

[@kikolatulipe]

Excellent interview ! Thank you !

[@mxhunting9050]

When it comes to investments, diversification is key. I’m originally into real estate, but more into stock investment currently. I have made significant progress in just a few months of trading Although I'm new to the stock market.

[@arnoldsmith9945]

Very correct. I personally own tech ETFs (QQQ, VGT, XLK, SOXX), S&P 500 ETF (VOO, it’s cheaper than SPY and has the same portfolio), many diversified single stock positions a mix of solid proven companies and companies with growth potential (diversified across different industries), and I also own IAU (gold ETF). I frequently add to positions.

[@mrturkey7647]

I would add that investors should not just diversify by buying different dividend paying stocks, but also by ensuring that these are from different industries or sectors. In other words, do not invest all of your money into transportation stocks, or all of it into banking, etc. Diversifying across industries or sectors is the way to go.

[@rodeotime5059]

@@arnoldsmith9945 This is a great tip, I have always wanted to invest in the stock market but I never had any idea about stocks to buy or what assets may have the highest growth potential and so on.. Do you have more clues that could help.

[@arnoldsmith9945]

@@rodeotime5059 To be honest I am trading expert myself. I run all my stock related activities through my broker *Amanda Katherine Leff* Her stock picks never fail and she is always accurate with her projections. She will also server your purpose perfectly.

[@lisarecinos3258]

@@arnoldsmith9945 Amanda Leff is highly recommended for newbies and even experienced traders who want to make better gains. My profit ratio grew exponentially the moment I invested with her. Meanwhile she is not the first or second broker I ever worked with.

[@wincubs1]

Love the programming on PBS and this is the quintessential show on the network. ❤ Wealth Track and never miss a week! Also when my financial and personal productivity is lacking during the week, I often remember the sign off mantra of "make the week ahead a profitable and a productive one". 😊

[@PanteraRossa]

Excellent insight and advice. DGRO and SCHD are solid funds even down market.

[@chessdad182]

I’m watching this show for the second or third time and realize how much more I learn in repeat viewings.

[@rocking1313]

"you don't need to be invested in the stock market at all times". Thanks Charlie and Consuelo!

[@thiagoramos248]

Really 😳 Rio Smith? I even thought I'm the only one he has helped walk through the fears of bitcoin trading. I met Mr Rio Smith last year for the first time at a conference in London,l invested $25,000 in trading bitcoin and I traded for one month making close to $150,000

[@evarlast]

I always watch your show and it is always great. This one is absolute exceptional. Dreifus is brilliant!

[@mustavogaia2655]

oh the rolodex... between his right arm and the books

[@santiagoclaira3606]

I literally don't losefunds in trading bitcoin. All thanks to the genius Mr. Rio Smith. His strategy is second to none

[@santiagoclaira3606]

For free consultation

[@santiagoclaira3606]

[phone]

[@harryjames3070]

I started bitcoin trading with Rio Smith when i visited my daughter in New York. I can now pay my bills without worries😇

[@richhands5369]

How can I contact him?

[@harryjames3070]

[phone]

[@chessdad182]

Enjoyed the show

[@emc6511]

Maybe she didn't have time to ask, but I was curious what were the companies he said he's holding in a 40% of fund concentration. Per date of this video 2/5/2021 as follows: Name Symbol % Assets Computer Services Inc CSVI 6.29% Johnson Outdoors Inc Class A JOUT 5.02% Huntsman Corp HUN 4.34% John B Sanfilippo & Son Inc JBSS 4.13% Hooker Furniture Corp HOFT 3.78% Cooper Tire & Rubber Co CTB 3.66% National Presto Industries Inc NPK 3.61% Standard Motor Products Inc SMP 3.48% Kulicke & Soffa Industries Inc KLIC 3.34% Hubbell Inc HUBB 3.29%

[@michaeldamian5750]

Excellent discussion, thank you

[@daves2520]

Charley is a wise man.

[@NoWarFools]

Love the Tie😄

[@jc.1191]

I hear people talking about bubbles again. People seem to be unaffected by it, when they think it is. I've no idea. But I think we'll see more large and swift declines like march 2020 when fear returns.

[@peredavi]

Always good advice on Wealth Track. Great hearing from a seasoned and experienced old head. Young people who disparage old people are in for hard experiences.

[@mithra2396]

Rate of Return is a function of entry-level. - Charlie Dryfus

[@wayneclarke4530]

What I appreciate about Mr Smith is his consistency in making huge profits. I'm on my 9th trade with him.

[@wayneclarke4530]

@EMo yea [phone]

[@proych78]

"You go down 25% - you have to get up 33% to be even" A point that small investors don't get and a point big players capitalize on. After a 1% drop a certain day they go up 0.7% the next day and everyone things 'oh yes, it was a small correction' -

[@PassivePortfolios]

Only buy the stocks which will go up. If they don't go up don't buy them. It's a perfect trading system which is simple but infallible if you stick to the strategy.

[@neverhit17]

You can see the sun going down behind him during the interview

[@jorgeferreiro9783]

"Royce is a sponsor of WealhTrack" So this means that this segment represents a well disguised advertisement.

[@robertheaney1858]

please listen to the DISCLOSURE AT INCEPTION OF PODCAST --IT'S RIGHT THERE !!

[@StephenDoty84]

Guy in next room: "Is that a dinosaur on a helium balloon?" --"No, it's just Wealth Track." ;)

[@stuartneill2454]

Experience has made Mr. Dreifus very wise, which will enable him to profit from market gyrations. He is the opposite of a dinosaur.

[@anselemrice434]

I don't know who needs to hear this but stop saving all your money. Venture into Investing some, if you really want financial freedom.

[@anselemrice434]

Investing for today is priceless because tomorrow isn't promised, trading bit-coins,gold,silver and crypto secures a better tomorrow

[@johnstones288]

Beautifully said,I tell this to my folks everyday.its good to save money but most people don't understand how the market moves and tend to mislead in facts like this and always depend on money in the bank.

[@benjamincowen124]

Great facts 👏

[@yusufahmed6779]

@@anselemrice434 I understand the Facts that tomorrow isn't promised to anyone, but Investing today is a hard thing to do because i have no idea of how and where to invest in these?