In this episode of The Personal Finance Project, Greg and Scott sit down with Joe Hodes, Director of Research on Baird's Specialized Asset Management (SAM) team. With a decade of experience as a research analyst and his CFA designation, Joe brings a deep and practical perspective on how portfolios are built, how companies are evaluated, and what investors should understand about today's market environment.

SAMTEAM

Together, the group unpacks:

• Why active management still matters after 15 years of "S&P 500 dominance"

• How the SAM team builds customized large-cap portfolios around client needs

• Why the S&P 500 today looks nothing like the index of decades past — and why that matters

• How to think about valuation, earnings growth, and multiples in a market heavily influenced by a small group of mega-cap companies

• The growing role of AI, where expectations may be too high (or too low), and how active managers navigate the hype cycle

• Why focusing on your personal financial plan beats chasing benchmarks

• How seasoned investors should think about risk, diversification, and protecting their nest egg in retirement

Joe also shares insights on today's economic backdrop — from inflation and consumer behavior to global trends and the rise of a worldwide middle class.

Whether you're a retiree managing distribution risk or an investor curious about today's market dynamics, this episode offers a clear, practical look into how disciplined portfolio management really works.