Rowan says 100% of S&P returns this year came from 10 stocks at 50 PE, constituting 35% of the index.
“A 100% of our returns this year are from 10 stocks which constitute 35% of the S and P that traded an average PE of 50.”
Rowan argues ten companies now represent nearly 50% of S&P 500, all concentrated on one trend.
“Have 10 companies today who account for nearly 50% of the S and P 500, and those 10 companies are all levered to one trend.”