If your portfolio is falling apart, you probably have too many momentum stocks in it
Note the following amazing statistic:
Goldman Sachs' high-beta momentum stock basket (very volatile stocks) is on track to close its worst month in history
You read that correctly
Not in the last year
Not in the last five
Not even in the last ten
But since measurements began
Worse than 2000 and 2009, which were the worst years to date!
Momentum stocks have undergone a very aggressive repricing, and this is felt in every portfolio that was overweight in momentum stocks!