Steve Romick: 'We Think Defensively'

<p>Our guest this week is Steve Romick. Steve is a portfolio manager at First Pacific Advisors, or, as it's probably better known, FPA. Steve comanages several FPA strategies, including the FPA Crescent Fund as well as the Source Capital closed-end fund. Steve joined FPA in 1996. Before that, he was chairman of Crescent Management and an analyst for Kaplan, Nathan & Co. For his work managing FPA Crescent, Steve was the recipient of the Morningstar U.S. Allocation Fund of the Year Award in 2013 and was previously a nominee for the Morningstar Fund Manager of the Decade Award. Steve earned his bachelor's in Education from Northwestern University and is a CFA charterholder.</p><p><strong>Bio and Background</strong></p><p><a href="https://fpa.com/about-us/team" target="_blank">Steve Romick and FPA team bios</a> </p><p><a href="https://www.morningstar.com/funds/xnas/fpacx/quote">FPA Crescent Morningstar “Quicktake” report</a></p><p><a href="https://fpa.com/funds/overview/crescent" target="_blank">FPA Crescent home page</a> </p><p><a href="https://fpa.com/docs/default-source/funds/fpa-crescent-fund/literature/quarterly-commentaries/fpa-crescent-fund-commentary-2020-q2.pdf?sfvrsn=14" target="_blank">FPA Crescent Q2 2020 commentary</a> </p><p><a href="https://fpa.com/docs/default-source/funds/fpa-crescent-fund/literature/cres-exposure-geo-breakdown-2020-06.pdf?sfvrsn=4" target="_blank">FPA Crescent historical asset allocation</a> </p><p><a href="https://fpa.com/docs/default-source/funds/fpa-crescent-fund/crescent-fund-perf-data-2007---2020-q2.pdf?sfvrsn=2 " target="_blank">FPA Crescent historical performance attribution</a> </p><p><strong>References</strong></p><p><a href="https://www.berkshirehathaway.com/letters/1996.html" target="_blank">Berkshire Hathaway letter from the chairman; 1996</a></p><p> </p><p><a href="https://activeshare.info/#/" target="_blank">“Active Share”</a> </p><p> </p><p><a href="https://fred.stlouisfed.org/series/BAMLH0A0HYM2" target="_blank">High-yield spreads</a> </p><p><a href="https://fred.stl