---
title: ClearBridge Investments Commentary - Large Cap Growth Portfolios
description: ClearBridge Investment's Peter Bourbeau and Margaret Vitrano provide their perspective on the Q2 discussing their large cap growth portfolios. 
image: http://www.wrapmanager.com/hubfs/MM_Logo_Images/ClearBridge_Investments.jpg
---

[![Assembly Wealth](https://www.letsassemble.com/hs-fs/hubfs/Assembly/logos/Assembly-Wealth-Logo-Orange-500px.png?width=300&height=70&name=Assembly-Wealth-Logo-Orange-500px.png "Assembly Wealth")](https://www.letsassemble.com/)

The Money Manager People TM

[800-541-7774](tel:+18005417774)

[![RESEARCH MONEY MANAGERS](https://no-cache.hubspot.com/cta/default/10700/7ecbcb66-3fbb-41e3-b219-c24fb3c769c5.png)](https://cta-redirect.hubspot.com/cta/redirect/10700/7ecbcb66-3fbb-41e3-b219-c24fb3c769c5)

[![Client Center](https://no-cache.hubspot.com/cta/default/10700/8691dcb4-caa3-42c2-a810-77b59f461fd2.png)](https://cta-redirect.hubspot.com/cta/redirect/10700/8691dcb4-caa3-42c2-a810-77b59f461fd2)

[Home](https://www.letsassemble.com/)

WrapManager's Wealth Management Blog

When life changes, we can help you thoughtfully respond.

[< Back to read another post](https://www.letsassemble.com/wealth-management-blog)

# ClearBridge Investments Commentary - Large Cap Growth Portfolios

Posted by [ WrapManager's Investment Policy Committee](https://www.letsassemble.com/wealth-management-blog/author/wrapmanagers-investment-policy-committee)  
 September 2, 2015

- [Tweet](https://twitter.com/share)

[![ClearBridge_Investments](http://www.wrapmanager.com/hubfs/MM_Logo_Images/ClearBridge_Investments.jpg)](http://www.wrapmanager.com/wealth-management-blog/clearbridge-investments-growth-portfolios)

ClearBridge Investment's Peter Bourbeau and Margaret Vitrano provide their perspective on the second quarter discussing their large cap growth portfolios. 

"As with stocks, the U.S. economy continued its slow march forward through the second quarter. Employment continued to lead the way, with payrolls increasing by an average of 221,000 per month, and the unemployment rate declining to 5.3%, its lowest level since April 2008. Consumer spending and new and existing home sales showed healthy improvement in May, while consumer confidence bounced back late in the quarter. The CEO of a major retailer we spoke with during the quarter indicated that consumers are now feeling good enough about their finances to expand purchases from basic staples to higher-priced apparel and home furnishings. Offsetting those gains were disappointing reports on GDP growth, with the final revision to first-quarter data showing that the economy contracted by 0.2% in the three months of the year, as well as industrial production.

The mixed domestic economic picture is less of a concern for U.S. multinationals than the ongoing softness in global demand. Spending in the emerging markets, a major demand driver for companies like Coca-Cola and Eaton Corp., remains weak, while the sustained rise in the U.S. dollar makes it more difficult for borrowers to service their dollar-denominated debt. And as we explained last quarter, a strong greenback has caused many of the export-driven large-cap companies we own to lower their earnings estimates for the year. On the bright side, dollar strength could cause the Federal Reserve to maintain its cautious stance on rates. Fed Chair Janet Yellen asserted in June that the committee still needs to see further improvement in labor markets, wages and inflation before tightening policy.

As the global economy muddles along, we have repositioned the portfolio for an expected low-growth environment by trimming positions in some of our select, higher-beta growth stocks and adding to more stable growth companies with dominant franchises and consistent cash flows. We are maintaining our existing exposure to cyclical growth companies, which consist primarily of energy stocks, as we believe that the names we own have the fundamentals to gain share as commodity prices stabilize.

Our commitment to owning a range of growth companies is a key differentiator from other growth strategies and is now reflected in more significant sector variances for the portfolio compared with our benchmark. Following the annual rebalancing of the Russell indices in late June, energy now represents less than 1% of the Russell 1000 Growth Index, down from 4.5% previously, while health care represents over 18%, up from 14.5%. As a result, our energy overweight has increased, while we now have an underweight to health care. We point out these differences to illustrate that fundamental views of individual growth companies, rather than formulaic, market cap-based rules, guide our portfolio construction. An emphasis on quality growth companies proved beneficial to the portfolio during the second quarter, and we believe the fundamental strength of such stocks will enable them to continue to deliver above-average growth over the long term." Download the full report below.

To learn more about ClearBridge Investments and other [Money Managers](http://www.wrapmanager.com/money-manager-research), give us a call at 1-800-541-7774 or [contact us here](http://www.wrapmanager.com/contact). 

[![pdficon](http://www.wrapmanager.com/hs-fs/hub/10700/file-2346359955-gif/blog-files/pdficon.gif) Download ClearBridge Investments' Full Report](http://www.wrapmanager.com/hubfs/MM_Commentary_PDFs/ClearBridge_Large_Cap_Q22015.pdf)

[![icon_report](http://www.wrapmanager.com/hs-fs/hub/10700/file-2346359965-gif/blog-files/icon_report.gif) Request Free Research Reports from ClearBridge Investments](http://www.wrapmanager.com/money-manager-research/clearbridge_investments)

[ClearBridge Investments LLC](https://www.letsassemble.com/wealth-management-blog/topic/clearbridge-investments-llc) [market perspective](https://www.letsassemble.com/wealth-management-blog/topic/market-perspective)

[![A guide to finding a better financial advisor](https://no-cache.hubspot.com/cta/default/10700/202250e7-ef82-4e50-a9c7-25c5bd555f4c.png)](https://cta-redirect.hubspot.com/cta/redirect/10700/202250e7-ef82-4e50-a9c7-25c5bd555f4c)

### Subscribe to Updates

[Subscribe to RSS Feed](https://www.letsassemble.com/wealth-management-blog/rss.xml)

[![New Call-to-action](https://no-cache.hubspot.com/cta/default/10700/ffe2a394-957b-481b-9f80-4ef176bd6aaf.png)](https://cta-redirect.hubspot.com/cta/redirect/10700/ffe2a394-957b-481b-9f80-4ef176bd6aaf)

### Most Recently Published

### Blog Authors

[![Gabriel Burczyk](http://www.wrapmanager.com/hs-fs/hub/10700/file-2347381761-jpg/Athors_Avatars/Gabe-avatar.jpg "Gabriel Burczyk")](http://www.wrapmanager.com/wealth-management-blog/author/gabriel-burczyk)

[**Gabriel Burczyk,**](http://www.wrapmanager.com/wealth-management-blog/author/gabriel-burczyk)  
[Founder & CEO](http://www.wrapmanager.com/wealth-management-blog/author/gabriel-burczyk)

[![Valerie De Vol](http://www.wrapmanager.com/hs-fs/hub/10700/file-2457588837-jpg/Athors_Avatars/Valerie-De-Vol-avatar.jpg "Valerie De Vol")](http://www.wrapmanager.com/wealth-management-blog/author/valerie-de-vol)

[**Valerie De Vol, **IACCP®  
Chief Operating Officer](http://www.wrapmanager.com/wealth-management-blog/author/valerie-de-vol)

[![Seton-avatar.jpg](http://www.wrapmanager.com/hs-fs/hub/10700/file-2344519198-jpg/Athors_Avatars/Seton-avatar.jpg "Seton-avatar.jpg")](http://www.wrapmanager.com/wealth-management-blog/author/seton-mcandrews)

[**Seton McAndrews, **CFP®  
](http://www.wrapmanager.com/wealth-management-blog/author/seton-mcandrews)[Vice President - Investments](http://www.wrapmanager.com/wealth-management-blog/author/seton-mcandrews)

[![Doug Hutchinson](http://www.wrapmanager.com/hs-fs/hub/10700/file-2347381751-jpg/Athors_Avatars/Doug-avatar.jpg "Doug Hutchinson")](http://www.wrapmanager.com/wealth-management-blog/author/doug-hutchinson)

**[Doug Hutchinson,](http://www.wrapmanager.com/wealth-management-blog/author/doug-hutchinson) **[CFA®  
](http://www.wrapmanager.com/wealth-management-blog/author/doug-hutchinson)[Director of Research and Trading](http://www.wrapmanager.com/wealth-management-blog/author/doug-hutchinson)

![Katie - square.png](https://www.wrapmanager.com/hubfs/Katie%20-%20square.png "Katie - square.png")

[**Katie O'Connor  
**Director of Client Services](https://www.wrapmanager.com/wealth-management-advisors/katie-oconnor)

**Important Disclosure Concerning WrapManager Blogs**

Blogs found at this site have been created or supported by WrapManager. The information provided in a blog post prepared by WrapManager or an associated person of WrapManager is generally limited to financial and economic issues, but may include a discussion of general interest items. The views and opinions expressed on this blog are purely the blog authors, and not necessarily those of WrapManager, Inc. Certain blog posts include information pertaining to WrapManager’s investment advisory services and the products and services of unaffiliated money managers. Such information is provided for information purposes only. Accordingly, information provided in a blog should not be construed by any consumer and/or prospective client as a solicitation to effect or attempt to effect transactions in securities or the rendering of personalized investment advice. Any subsequent, direct communication by WrapManager with a prospective client shall be conducted by a representative of WrapManager. Moreover, no client or prospective client should assume content contained on the website serves as a substitute for personalized advice from WrapManager. Different types of investments involve varying degrees of risk, and there can be no assurance that any investment, portfolio or money manager referred to within the blog will be suitable for your individual situation and risk tolerance or will be profitable. WrapManager recommends that you retain a financial professional to provide you with specific guidance regarding your financial situation before investing. Investment in equity strategies involves substantial risk and has the potential for partial or complete loss of funds invested.

Although the information included in the WrapManager, Inc. website and blog has been obtained from sources WrapManager believes to be reliable, we do not guarantee its accuracy and information may be subject to change without notice. This website should not be regarded as a complete analysis of the subjects discussed. Information on this site should not be relied upon as a substitute for legal, tax or accounting advice by a professional in your local jurisdiction.

Comments made by third parties are subject to moderation by WrapManager and may not appear on this blog until they have been deemed appropriate for posting. Also, due to the volume of comments received, not all comments will be posted.

WrapManager does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party website linked to WrapManager's web site or incorporated within a blog post. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly.

 

 

```json
{
  "@context" : "https://schema.org",
  "@type" : "BlogPosting",
  "author" : {
    "@type" : "Person",
    "name" : "WrapManager's Investment Policy Committee",
    "url" : "https://www.letsassemble.com/wealth-management-blog/author/wrapmanagers-investment-policy-committee"
  },
  "datePublished" : "2015-09-02T17:00:00.000Z",
  "headline" : "ClearBridge Investments Commentary - Large Cap Growth Portfolios ",
  "image" : [ "http://www.wrapmanager.com/hubfs/MM_Logo_Images/ClearBridge_Investments.jpg" ],
  "mainEntityOfPage" : {
    "@id" : "https://www.letsassemble.com/wealth-management-blog/clearbridge-investments-growth-portfolios",
    "@type" : "WebPage"
  },
  "publisher" : {
    "@type" : "Organization",
    "logo" : {
      "@type" : "ImageObject",
      "url" : "https://www.letsassemble.com/hubfs/Assembly/logos/Assembly-Wealth-Logo-Orange-500px.png"
    },
    "name" : "Assembly"
  }
}
```