The Value Factor Came Roaring Back In 2016 And May Be Here To Stay

In the years since the financial crisis, the value factor has seen mixed results—until 2016, that is. Value did particularly well last year, and all signs point to continued success this year.
Rotation toward value factor
In a research note dated Jan. 5, Morgan Stanley equity strategist Charles Clavel and team noted the strong rebound in the value factor throughout much of 2016, naming it "Factor of the Year" for 2016. They said value did well across geographic regions, which they believe could mean that it will continue to do well this year, especially in Japan.

They reported that December capped a year of strength for value investing, which confirms a global rotation toward the value factor which began early last year. Further, value became even stronger after Brexit. Clavel and team added that outside of Japan, value’s outperformance of growth was very high compared to historical standards.


Value factor to keep outperforming

SORRY!

This content is exclusively for paying members. Access all of our content on including years of timeless investment news and in depth analysis for only a few dollars a month by signing up here while also supporting quality content and journalism, or learn more about our premium content here

If you are subscribed and having an account error please clear cache and then cookies if that does not work email support@valuewalk.com and we will get back to you as quick as humanly possible


Saved Articles
X
TextTExtLInkTextTExtLInk

The Life and Career of Charlie Munger

Charlie is more than just Warren Buffett’s friend and Berkshire Hathaway’s Vice Chairman – Buffett has actually credited him with redefining how he looks at investing. Now you can learn from Charlie firsthand via this incredible ebook and over a dozen other famous investor studies by signing up below:

  • Learn from the best and forever change your investing perspective
  • One incredible tidbit of knowledge after another in the page-turning masterpiece of a book
  • Discover the secrets to Charlie’s success and how to apply it to your investing
Never Miss A Story!
Subscribe to ValueWalk Newsletter. We respect your privacy.

Congrats! Are you a smart person?

We have an exclusive targeted for being a sophisticated and loyal reader.

Welcome in the new year by signing up up for ValueWalkPremium today and get our exclusive content for 40% off. This is our second biggest discount ever!!

Use coupon code VIP20 or click on the button below

Limited time offer only ENDS 1/31/2019 or after next 30 23 subscribers take advantage whichever comes first – please do not share this discount with others

 

0