“We don’t buy into gold,” Cunningham told CNBC.
“We invest based upon fundamentals and we only buy securities that we feel are undervalued [and] gold is neither of those.”
Instead, Cunningham said he is “overweight” informationtechnology and health care because they have "secular tailwinds."
“IT is something that has to be upgraded on a continual basis by companies—and companies happen to be healthiest part of the economy right now,” he said.
As for health care, "we’re living longer and getting sicker and we believe that [the sector's] quite undervalued right now,” Cunningham explained. “The utilization rate is down 7 percent right now, which has been pushing that sector down 10 percent year to date.”
Cunningham oversees a total of six funds all of which are either four or five-star rated. One of his fund has beaten the S&P for 11 years in a row.
Scorecard—What He Said:
- Cunningham's Previous Appearance on CNBC (Mar. 3, 2010)
Market Opinions—Read and Decide:
CNBC Data Pages:
Cunningham, his family and firm own shares of CERN, CSCO and UL.