Technology stocks pulled back sharply in November as investors rotated toward value-oriented sectors such as Health Care and Consumer Staples.

Yet Alphabet (Google) stood out for its resilience.

In this month’s note, we explore why Google held up even as the broader tech sector sold off—highlighting its dominant core business, accelerating AI adoption, and uniquely strong balance sheet. We also review sector performance and discuss how our Core portfolios benefited from rotation-driven gains in names like Eli Lilly and Merck.

WestEnd’s Core Strategy doubled the index return for the quarter (+21.8% vs. +10.9%), driven by our focused allocations in Technology, Industrials, and select European stocks. In this letter, we highlight how positioning in aerospace and defense continues to benefit from reshoring trends, rising global defense spending, and domestic investment tailwinds from the new OBBBA legislation.

After a week of on-the-ground research across Europe, WestEnd’s equity team returned with fresh conviction in three compelling companies. With macro shifts reshaping the region, we see meaningful opportunity in select European equities.

In our view, staying passive through volatile, policy-driven environments is not a risk-free choice. Rather than committing to a static buy-and-hold allocation, we believe in remaining tactically active.

NVIDIA and Palantir are two tremendous technology companies, with enviable competitive advantages. Though we believe these things to be true, we still felt it was time to exit our position in Palantir and to substantially reduce our weight in NVIDIA.