Is it "mom & pops" that is driving the S&P index up so high?
You've taught us that smart institutional money has to stay in the market, but aren't they already in value type stocks, like your picks?
No, it's large corporate stock buyback programs that have been a large contributor to the latest run-up. Institutions have to remain fairly fully invested. That's what they're paid to do. Every firm has a different number on how much cash is allowed to be held. But generally, they've usually got to be at least 70-80% invested or more.
Institutional moves are a process over time. It's not like how we can do with selling out of every share all at once and buying into something all at once (if we'd wanted to). They have to move millions of shares and if they tried to do that all at once, they'd literally move the market against the latter part of their own orders and get horrible fills. So they have to try to inch out while the liquidity is still there (when stocks are going up).
Yes, they've gone into our value positions some, and that's why you've seen them rise. But there's a ton more buying that they'll still have to do. And some of that won't likely come until the broader bear market is underway.