Zevenbergen Capital 3Q19 Perspective

October 10, 2019ZCI Blog

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Curious about Zevenbergen Capital’s investment perspective? Check out an excerpt from our quarterly client letter for our thoughts on 3Q19. 

Zevenbergen Capital

3Q19 Equity Review & Perspective 

The New (Ab) Normal: Investors have shifted recession concerns several times over the past year, flipping between optimism/pessimism, sometimes resulting in extreme market reactions. For one brief, frightening moment this summer, the word “recession” was on everyone’s lips – television segments, front-page articles and Google searches. The hyperbolic reports predicted doom, gloom, massive unemployment and a stock market meltdown. Fear sells. However, if enough people feel that there will be a recession, it could become a self-fulfilling prophecy. While the Great Recession of 2008 is still in memory, it was a unique, generational financial disaster. Typical recessions have not been nearly as painful. The best advice is to not worry. We will invest through it, just as we have in the past. With clear-eyed perspective (supported by affirmations from our companies), a recession is not a foregone conclusion. A period of slower growth still looks more likely than an outright contraction. So, assess the negative hype carefully and stay the course.