We just completed a tactical re-allocation and rotation from the weak areas of the market to the stronger sectors and individual names. For this week’s article, I’m going to lay out the top five biggest changes we made in our actively managed portfolio “Tactical Alpha Growth” (TAG for short) at Inside Edge Capital. Below is a snapshot of our allocations in the 11 sectors that make up the S & P 500 for our growth model TAG. Along with the allocation you’ll also find the adjustment we made, how much over / underweight we are relative to the S & P’s allocation to a sector as well as our prior allocation. The biggest adjustment at the sector level is consumer discretionary was cut by a massive 9.50% to be more inline with the S & P’s 10.21% allocation to consumer discretionary. Keep in mind this includes Amazon , Home Depot and Tesla . We increased exposure by at least 4% in materials, utilities, energy, and health care. This is notable, particularly for a growth-oriented model portfolio that is designed to compete with the Nasdaq 100 returns, as we’re seeing a broadening of rally away from megacap and semiconductors that did so much heavy lifting this year. Netflix – NFLX – Communications I’ve held this name in TAG since May 2023 and have been reducing in the prior 2 re-allocations from 3% down to current 1% holding. I’m about to cut the position all together until it can gather itself above or around the highlighted $82-$85 support zone. Subscriber growth has been decelerating after the 2024 surge as the company cracked down on password sharing. International subscriber growth has also slowed. The company has been spending more on content pressuring margins, and the pending deal with Warner Brothers has the stock potentially tied up in red tape with the Federal Communications Commission for the foreseeable future. Apple – ‘AAPL’ – Technology We’ve had this name since we launched in 2021 and have been holding a 3.5% allocation, which is underweight Apple relative to the S & P 500’s 6.6% allocation. We took our Apple allocation up to 6.5% to go market weight as Apple broke out above the $260 former all-time resistance level. Apple is leading the megacaps higher as iPhone 17 demand was stellar ahead of the 2026 Apple Intelligence rollout. Also, the company has been fiscally responsibility in terms of AI spending compared with other hyperscalers. There is a 1.5 billion installed userbase of iPhones waiting for a possible Google -AI deal to complete the offering. Bloom Energy – ‘BE’ – Industrials I last wrote about Bloom Energy in August here on CNBC Pro . I missed the initial entry, but added 1% in September and again in November to hold a 2% allocation. The stock is volatile, has a high 2.50 beta, and is pulling back into 20- and 50-day moving averages, which I would prefer to see hold support. The company is a higher-powered growth name behind the clean energy demand for the AI-buildout. Specifically, they produce dispatchable baseload continuous power solutions that are ‘off grid’. With growing traction for its fuel-cell systems and visibility into long-duration power solutions, BE is a leading beneficiary of the AI infrastructure boom. But as I said, though it’s power solutions are not volatile, the underlying stock is. A 2% allocation is sufficient for now, and would entertain one more increase to a 3% allocation. Lemonade – ‘LMND’ – Financials I wrote about this name in early November when it was trading at $61 below resistance. LMND is a pure AI insurance disruptor built from the ground up that is being rewarded for it’s improving loss ratios and clearer path towards underwriting profitability. LMND features AI-driven pricing, claims, assessment, and risk-mitigation that positions the company as a lean, tech-forward insurer poised to scale quicker than the 100-year + legacy competitors. AngloGold Ashanti – ‘AU’ – Materials We’ve increased allocation to materials in recent portfolio rebalances to take advantage of the move in gold miners and other commodity-related contributions to the AI infrastructure buildouts. AU is the leading gold miner under institutional accumulation. We added a 2% position in AU at current levels and can see the gold trade moving higher as the US dollar index remains below resistance, despite the 10 year yield moving higher from recent consolidation, but suspect resistance will soon be found. AU is a powerhouse -Todd Gordon, Founder of Inside Edge Capital, LLC We offer active portfolio management as well as comprehensive financial planning and tax strategy for the informed, active investor who frequent CNBC pro. Book a no-obligation discovery call with us: www.InsideEdgeCapital.com DISCLOSURES: Gordon owns NFLX, AAPL, BE, LMDN, and AU personally and in his wealth management company Inside Edge Capital. All opinions expressed by the CNBC Pro contributors are solely their opinions and do not reflect the opinions of CNBC, NBC UNIVERSAL, their parent company or affiliates, and may have been previously disseminated by them on television, radio, internet or another medium. THE ABOVE CONTENT IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY . THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL’S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. 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