The Mackenzie Growth Team looks for high-quality businesses that will benefit from secular tailwinds. Digitization is a key sector the team is focussing on as it reduces its cyclical holding.
Read this fund insight for details on the portfolio changes the Mackenzie Growth Team has made. Plus, learn more about the team’s investment approach to fundamentals analysis and the secular drivers.
Using history as a guide, investors have an opportunity to capture strong risk-adjusted returns with US mid cap stocks.
US mid cap stocks offer a risk-return “sweet spot” between the opportunities of dynamic small businesses and the steady growth of large-cap companies.
Portfolio Manager Phil Taller talks about positioning the Mackenzie US Mid Cap Growth Class amid developments with the US economy, President Donald Trump and healthcare.
US Mid Cap equities posted a modest rise in the second quarter after a negative turn in May. The Russell 2500 index returned +3.0% in US Dollars (0.7% in Canadian Dollars). Some of the more cyclical sectors such as Producer Durables, Materials and Financial Services performed well, as did Technology. Health Care slightly underperformed, while Consumer Discretionary was well behind the index.
US Mid Cap equities began the year with a strong rebound in the first quarter. The Russell 2500 index returned +15.4% in US Dollars (+13.3% in Canadian Dollars). While Technology and Health Care were the top performing sectors, Energy, Producer Durables, and Materials all performed well.
US small and mid-cap equities ended the year with a large decline in the fourth quarter. The Russell 2500 index returned -18.9% in US Dollars (-13.9% in Canadian Dollars).
US small and mid cap equities continued their strong performance in the third quarter . The Russell 2500 index returned 4.7% in US Dollars (2.9% in Canadian Dollars). Technology and Health Care outpaced the market by far, while Producer Durables and Utilities also did well. The only sector to decline was Consumer Staples.