Bernstein: tilt toward large caps and growth

OK, this isn't news. But I just saw it.

In a May research note, Richard Bernstein, Merrill chief investment strategist, said “our tactical size and style recommendations are now heavily tilted in favor of large caps over small caps and growth over value.”

He cited slowing profit growth, narrowing leadership, no more low-quality stocks junking up growth indexes, growing volatility that helps large caps, and more foreign exposure found in large issues (a positive).

I tend to agree with Bernstein. Tech and larger cap growth indexes have been showing superior relative strength, and have been surprisingly resilient during the sell-off. So too foreign markets.