repositioning for toronto listing?, page-2

JY: I think the right trade a year or six months ago was to move from small-cap companies to larger-cap, as there was a liquidity crisis and perceived additional risk. There was effectively a risk-off trade, where you did better owning big stocks than you did in small and you did better owning more rapidly growing companies than companies that weren't growing as rapidly. Now it makes sense to do the reverse of that, especially in the context of an equity market recovery.

I think that some of these smaller-cap companies I have described, which traded down more than their peers, are going to outperform significantly. And I think energy equities are a good place to be in a market recovery. So, I think stocks like Gastar or Molopo or U.S. Energy have the potential to generate a substantial excess return in a market recovery.

TER: We will stay tuned and hope for the best.

JY: Great. I appreciate it.

Josh Young is the founder and portfolio manager of Young Capital Management, LLC, which launched Young Capital Partners, LP in 2010. He previously served as an analyst at Karlin Asset Management, a multibillion-dollar, single-family office in Los Angeles. Prior to that, he was an investment analyst at Triton Pacific Capital Partners. He was also a corporate strategy consultant at Mercer Management Consulting and DiamondCluster. He holds a Bachelor of Arts in economics from the University of Chicago.