Tom Lee, founder of Fundstrat and manager of the Granny Shots fund, has identified "scarcity" as the pivotal investment theme for 2026. Lee emphasizes that companies selling scarce assets, such as AI computing power, AI memory, and energy infrastructure, are outperforming the market due to a structural supply-demand mismatch. This imbalance grants these companies strong pricing power and the potential for excess returns. Lee's investment thesis is supported by a robust macroeconomic framework. He suggests that declining oil prices could signal opportunities for growth stocks and risk assets, as reduced inflationary pressures may lead to Federal Reserve rate cuts. Despite geopolitical uncertainties, Lee maintains a bullish outlook, projecting the S&P 500 to reach 7,700 points by year-end, with mid-year pullbacks seen as buying opportunities for scarce assets. The Granny Shots fund, which focuses on companies with constrained supply and high demand, has seen its assets under management surpass $4 billion. Lee advises investors to focus on the underlying reasons for asset price movements, particularly the structural demand driven by AI and supply constraints, to achieve sustained outperformance.