Market Commentary

1q 2012

Here's the latest Quarterly Perspectives With Bob Turner video, in which the chairman and chief investment officer of Turner Investments observes that the stock market has more than doubled from its bottom in 2009 but corporate profits have risen at an even faster pace. It's one of the reasons why he thinks the bull market may have additional upside return potential in 2012.

About the stock market's strong performance in the first quarter, when the S&P 500 Index gained 12.58% (the best first quarter since 1998), he notes, "Companies that had the strongest earnings were ultimately the best performers. That's in contrast to last year, when the companies that had the strongest earnings were actually the worst performers." In the quarter, the performance of Turner Investments' growth portfolios benefited from the market rewarding those stocks with superior earnings.

In this video, he offers his views on these topics as well:

• Corporate earnings could increase an average of about 10% in 2012 over last year.
• Why technology stocks may offer the best risk/reward tradeoff, based on the price/earnings-to-growth ratio, which measures a company's earnings power relative to its stock valuation.
• Why the stock market may not be vulnerable to a big drop at this point, contrary to the view of some bearish pundits.