Momentum has been one of the market's biggest winners in recent years. But what happens when the trade everyone loves starts to unwind?
In this month's episode of Sound Bites, Matt Jones, Portfolio Manager for the Fidelity Research Global Equities Fund explores why momentum has become such a powerful force in markets, why it can act as a "wolf in sheep's clothing" for investors, and how investors can identify hidden concentrations that may be building beneath the surface of portfolios.
Topics covered:
- Why momentum has become a dominant market driver
- The risks of factor concentration and crowded trades
- How market-cap weighted benchmarks can amplify momentum exposure
- Why diversification goes beyond simply owning more stocks
- The role of differentiated alpha sources in today's market
This episode was recorded 19 August 2026.