Topic: First Trust Investment Committee Outlook and Current Trends in Portfolio Construction
Speaker: Liam O’Brien, CFP®, First Trust
Description: This presentation will provide a high-level overview of evolving trends in portfolio construction along with an update on how First Trust’s Investment Committee views the world. With long-term return objectives, risk management, and market complexity, the goal is to equip the attendees with practical insights, tools and resources they can apply in portfolio oversight. This session provides a streamlined overview of the key forces shaping today’s portfolio‑construction environment, using First Trust’s Investment Committee research and current market data. It examines how interest‑rate cycles, valuation dispersion, market concentration, and profitability trends affect long‑term return expectations and risk management. By highlighting structural shifts in equity leadership - including the dominance of the largest S&P 500 companies and the earnings gap between mega‑caps and the broader market - the presentation equips advisors with practical context and analytical tools for informed portfolio oversight.
Learning Objectives:
*Understand how Federal Reserve policy cycles and interest‑rate expectations influence asset valuations and portfolio return assumptions.
*Assess valuation dispersion across market caps and styles, including the implications of historically high index concentration.
*Compare earnings contributions of mega‑cap leaders versus the rest of the S&P 500 and evaluate profitability challenges within small‑cap equities.
*Incorporate long‑term historical context, risk factors, and diversification considerations into portfolio oversight and rebalancing decisions.
*Communicate market complexity, concentration risk, and valuation dynamics in a clear, evidence‑based manner to support informed client decision‑making.
1 CFP CE approved
Meeting Agenda:
11:00-11:40: Registration and Networking
11:45: Meeting begins
1:00: Meeting ends
About the Speaker: Liam O’Brien is a Senior Portfolio Analyst and member of the First Trust Portfolio Analytics & Research Coverage Team. In his current role, Liam serves as a resource on portfolio construction and investment strategies. Liam and his team evaluate thousands of model portfolios a year, synthesize potential risk/return characteristics, and help deliver potential solutions to financial professionals that aid them in serving their clients
Parking will be validated
Questions: Contact Sarah at admin@austinfpa.org.