Alphabet 2Q Preview: Higher D&A To Weigh On Earnings; AI Monetization Slows But Continues

Core Viewpoint - The article emphasizes that a HODL strategy may not yield significant alpha or maintain a high Sharpe ratio over the long term, suggesting that active management is essential for maximizing returns and minimizing opportunity costs [1]. Group 1: Investment Strategy - Active management is necessary to seek alpha and achieve high positive returns, as simply holding assets does not guarantee these outcomes [1]. - Investors should recognize that aiming for high returns does not equate to generating high alpha [1]. Group 2: Analyst Background - The analyst has a background in fundamental equity research, global macro strategy, and top-down portfolio construction, with degrees from UCLA and UMich Ross School of Business [1]. - The analyst currently works as a senior analyst at a multi-strategy hedge fund [1].