Preference for sector exposure should be based on where management finds recurring revenue, monopoly-like businesses with growth, not on a predetermined target allocation to each sector; this naturally results in high technology concentration because technology companies are more likely to meet the criteria of recurring revenue, non-discretionary products, and scalable cash flow.
normativepending
Speaker
Joseph ShapiroEvidence Quote
“we have some sector exposures because we just naturally like certain sectors”
Source
The Compounders Hiding in Plain Sight | Joseph Shaposhnik on Finding Decade-Long Winners— Excess ReturnsCreated: 8/11/2026, 7:25:53 AM
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