FYI: Cliff Asness, co-founder of AQR Capital Management, has read a few too many news stories about how the S&P 500 would have turned a loss in 2015 save for heroic performances by Facebook (FB), Amazon.com (AMZN), Netflix (NFLX) and Alphabet aka Google (GOOGL).
Asness says that a handful of big stocks basically drive the returns of market-cap weighted indexes every year. Last week, Barron’s Ben Levisohn picked up on a similar theme, that so-called narrow breadth is bad for the market. Data say it isn’t. Here’s Asness:
Regards,
Ted
http://blogs.barrons.com/focusonfunds/2016/01/13/cliff-asness-quit-it-already-with-fang/tab/print/
