Matthew J. Moberg, Senior Vice President and Portfolio Manager with Franklin Equity Group, Franklin Templeton, joined Keith Black, Managing Director of RIA Channel, to discuss investing in innovative companies.
The Franklin DynaTech Fund (FDYZX) has been investing in innovation for over 50 years. Moberg notes that wealth comes from innovation, but innovative stocks can be the most mispriced stocks in the market. Active management is needed to sort through stocks that are regarded as expensive because some stocks, like Amazon, can outperform over decades. When investing in an emerging theme such as artificial intelligence, Moberg suggests investing first in infrastructure stocks and moving later into firms with applications and use cases.
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