As is always the case, we encourage investors to think long-term about the Fund’s focus on growth, disruption, and transformation. We would remind readers that it took around 12 years for the automobile to displace the horse drawn carriage, but once it happened no one looked back.
History has many examples of evolutionary (or even revolutionary) technologies that solve social problems and/or cause important changes. Companies that are driven by this change most often experience accelerated long-term revenue and earnings growth. These companies have corporate cultures that are led by CEOs/founders who are willing to do what is different. Companies that do not seek to embrace change ultimately go the way of the past. This may be one reason why growth stocks tend to outperform value stocks.
