Co-Founders' Monthly Note For Financial Advisors

September 2026:

A ‘Magnificent’ Change In U.S. Equities Leadership

Every market seems to develop a group of stocks everyone generally agrees on. For the last several years, that group had seven members and a nickname.

Owning them worked. Not owning them cost you. And the longer that went on, the more it started to look like a rule instead of a stretch of very good performance.

This year, the group has been quiet and the market has gone up anyway.

Recognizing a change like that in advance sounds easier than it is. You would have needed to know when the old leadership was ending. Then what would replace it. Then when the new leadership was established enough to act on. We would rather require evidence than depend on getting that sequence right.

This month’s Co-Founders’ Note digs into the changing leadership in U.S. equities, the cost of waiting for confirmation, and why a systematic invest process does not need to be the first to recognize a new trend.

But first, here’s a summary of what transpired in the markets in August.