Breaking Down Active Management, AI, and the S&P 500 with Baird’s SAM Team

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.

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.