Dennis Lynch steers a mutual fund whose bets on Amazon and Zoom Video have helped it beat the market by more than 30% so far this year, but he isn’t isn’t ready to celebrate just yet.
The Morgan Stanley Insight Fund was one of the top 10 large cap growth funds last decade, according to Morningstar, with an annualized return of 17.11%. That success has continued so far in 2020 in dramatic fashion, with the fund rising by more than a third year-to-date, according to Morningstar.
Lynch described the fund’s performance so far this year as “relatively fortunate.” It ended last December with large positions in what proved to be hot stocks during the downturn, but there could still be challenges ahead, Lynch said.
“Times like these are just so unpredictable … it’s not over yet. Just because the market went down and went up doesn’t mean there’s a beginning and an end,” Lynch said. “In some way, when you’re an investor, it’s always a beginning. I think you need a long time to pass in order to judge whether or not you had a successful strategy or a successful period of decision marking.”