«On the
equity side, we take a sector - neutral approach that
targets high active share, a
measure of the percentage of holdings that differ from the index, which historically has offered greater potential for outperformance.»
They include: (1) regulatory law and enforcement work, because industries from banking to private
equity funds to large oil companies will likely be
targets of the new administration, while health insurance companies will be subject to heightened regulation; (2) litigation, because a Democratic administration will probably push back tort reform
measures, giving rise to more lawsuits; (3) «green» law, i.e., representing companies that deal in green technology, whose growth will be stimulated by likely tax incentives as well as a cap and trade system; and (4) real estate, because the bailout legislation will most likely require banks availing themselves of the benefits to begin issuing mortgages again.