Commentary and Research Papers
2026
2026
From the beginning, our thesis has been simple. Sports is a scarce, global asset class with durable economics that sit meaningfully outside traditional market cycles and the assets themselves are largely uncorrelated with conventional drivers of equity returns. As a result, performance will at times look different from broad indices. That divergence is not a risk we seek to eliminate; it is a feature we expect to live with patiently.
Read MoreRead MoreWatch NowCommentary and Research Papers
2026
2026
U.S. equities delivered a generally positive start to 2026, with major indexes ending January modestly higher. Stock prices were supported by strong economic data enhanced by fiscal stimulus, expectations for modest monetary policy easing from the Federal Reserve, and inflation readings that continued to trend favorably. The boom in artificial intelligence (AI) spending continues, although concerns rose late in the month regarding OpenAI’s massive spending plans, which rely upon external sources of financing that may not be fully secured.
Read MoreRead MoreWatch NowCommentary and Research Papers
2026
2026
January saw a broadening of performance for the Pinnacle Small Capitalization Value portfolio. We used the strength in AI-related stocks this month to reduce our exposure, both direct and indirect, to the space. We believe a lot of good news and expectations are being priced into these stocks, and we do not want to be overexposed to one (very popular) part of the economy.
Read MoreRead MoreWatch NowCommentary and Research Papers
2026
2026
For much of the past decade, large-capitalization stocks, particularly the Magnificent Seven mega-cap technology companies, have dominated investment returns. Yet as market dynamics evolve and secular growth trends accelerate across multiple industries, small-capitalization companies may increasingly gain investor attention. For sophisticated investors seeking meaningful, long-term out performance, active management of small to mid-sized companies by a manager with a proven track record across multiple market cycles remains one of the most effective paths to superior returns.
Read MoreRead MoreWatch NowCommentary and Research Papers
2026
2026
2025 was a miserable year for most active managers; it turns out many of them were not actually straying very far from the most popular stocks. Our strategy is to look for unique (as much as is possible), mispriced stocks/companies that generate attractive returns and have solid balance sheets with experienced management teams. We also want the potential to grow. We believe this approach will probably be more important over the next few years than it has been over the recent past.
Read MoreRead MoreWatch Now
Founded in 1984, Pinnacle Associates, Ltd. is a forward thinking, multi-billion dollar investment advisory firm focused on transparency and putting clients first. We provide advice to individuals and families, institutional investors and other financial institutions.
