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The iPhone 17, a device of polished glass and fleeting desires, has proven…adequate. A renewal cycle, they call it. A temporary reprieve. Management speaks of growth, and one allows oneself a cautious optimism, but the relentless march of quarterly figures feels…hollow. The artificial intelligence, a fashionable distraction, will undoubtedly capture attention. But will it fundamentally alter the trajectory? Perhaps not. By 2031, newer iterations will emerge, chasing the same elusive promise of innovation.

Which brings us to e.l.f. Beauty. A company that makes… well, things people put on their faces. I’m more of a ‘wash and hope for the best’ sort myself, but others seem to require more elaborate rituals. And, as a consequence, e.l.f. might just find its way into my portfolio. Possibly. Don’t mistake contemplation for commitment; I’ve seen perfectly good investments vanish like smoke in a wizard’s beard.

Indeed, the company’s recent performance has been quite extraordinary. A revenue increase of sixty-two percent in the last quarter, culminating in a sum of fifty-seven billion dollars, is a circumstance to be noted with approval. Even more remarkable, perhaps, is the fact that this represents nearly a tenfold increase from the corresponding period two years prior. Such prosperity, however, is not to be regarded as a fleeting fancy, but rather as the harbinger of continued success.

Nvidia, for all its present glory, built its empire on the backs of gamers, crafting illusions with light and shadow. That skill translated, yes, to the cold logic of AI, but it carries with it a certain… extravagance. Broadcom, however, is a different breed. They are not artists; they are engineers. They don’t chase illusions, they solve problems. And the problem now is not simply computing, but computing efficiently.

At the very heart of this frantic construction lies Taiwan Semiconductor Manufacturing (TSM +2.21%). TSMC, or ‘The Foundry’ as the more discreet investors call it, holds a rather… substantial portion of the logic chip market. Without them, this whole AI endeavor would resemble a wizard attempting to conjure a dragon with a handful of pebbles. If The Foundry wasn’t diligently expanding its capacity, building more and more of those tiny, intricate wonders, then the whole enterprise would grind to a halt. And yet, they’ve just given investors a rather compelling reason – fifty-six billion, to be precise – to believe that this isn’t just a fleeting fancy. It’s a sum large enough to make even the most hardened accountant blink.¹

Both funds seek to capture the growth potential of these dynamic, yet often unpredictable, markets. However, their approaches differ, revealing a landscape of costs, sector emphases, and, ultimately, a reflection of the investor’s priorities. It is a familiar story – the tension between seeking the lowest possible friction and accepting a degree of established history, even if it comes at a price.

Now, one might assume this means Netflix is in some sort of trouble. But let’s put that in perspective. Since going public in 2002, the stock has increased by approximately 78,000%. Yes, you read that correctly. 78,000%. If you’d invested a mere pittance back then, you could now be funding a small island nation. A temporary wobble, therefore, feels…well, a bit like getting upset because your yacht has a minor barnacle problem.

The following analysis details the factors contributing to this contraction and assesses the implications for investors.

VTV, apparently, is for people who like things…solid. Established companies. The kind that probably have wood paneling and a strict dress code. It focuses on those large-cap value stocks, which, as far as I can tell, are companies that aren’t necessarily growing, but are stubbornly refusing to disappear. It’s a comforting thought, actually. Like owning a really heavy, reliable armchair. The expense ratio is a perfectly reasonable 0.04%, and it throws off a dividend yield of 2.05%. My accountant, a man who communicates almost exclusively in spreadsheets, seems pleased.