Bell Global Equities Fund Says AI Rally Is Real, Exits Costco and Sticks With LPL

Overview

• In its May 2026 investor update the Bell Global Equities Fund reported a 2.1% return for the Platform Class and said it underperformed the MSCI World ex-Australia Index because mega-cap tech and chip stocks led the rally.
• The letter named LPL Financial as a May detractor because of sector talk about structural fee pressure and automated cash disintermediation, but the fund said those risks are overplayed and that it maintains conviction in LPL’s longer-term outlook.
• Bell explained automated cash disintermediation as tokenized or AI-driven platforms moving idle client sweep balances into higher-yielding options, and it noted average sweep balances are about US$5,000 and largely controlled by advisors, which limits near-term disruption.
• The fund said it sold Costco because the stock traded at roughly 45x forward earnings and the risk‑reward had become unattractive, and it also exited Pool Corporation after its CEO left and Copart after signs the growth turnaround had not arrived.
• Market snapshots show LPL closed at $300.82 and Costco at $171.06 on July 8, 2026, and Bell signaled a tilt toward AI-exposed names it views as offering faster return potential, which could shift capital away from fee-reliant wealth managers over time.