CHART OF THE DAY: Small Caps Loves #Quad2 In Q2

04/07/21 07:48AM EDT

Below is a chart and brief excerpt from today's Early Look written by Hedgeye CEO Keith McCullough.

So now it's APR of 2021 and everything from HIGH to LOW SHORT INTEREST and SMALL to LARGE CAP… and HIGH to LOW BETA… are working higher, all at the same time… and, in astonishment, the consensus bears are way behind their bench.

The bench = the benchmark market return that many have to beat in order to get paid (i.e. SPX +8.5% YTD).

I personally don’t have a bench. If I did, I’d be lucky to bench ½ of what I benched in 1999. And, yes, that makes me different. And, yes, that’s ok. Because I can chirp on Twitter all day long and write you these rants.

If I was my former big time self, running my hedge fund, I’m pretty sure my 2021 YTD performance would suck. That’s because the last time I ran a hedge fund book was 2007, when being Factor Aware didn’t matter like it does today.

CHART OF THE DAY: Small Caps Loves #Quad2 In Q2 - image  17

© 2021 Hedgeye Risk Management, LLC. The information contained herein is the property of Hedgeye, which reserves all rights thereto. Redistribution of any part of this information is prohibited without the express written consent of Hedgeye. Hedgeye is not responsible for any errors in or omissions to this information, or for any consequences that may result from the use of this information.