Barc: Low Vol Stocks Are Overvalued By 15%

European low vol stocks could underperform by as much as 15% over the next few months as they reflect the acceleration in headline inflation rates and investors rotate into value, that’s according to a new 100-page presentation from equity analysts at Barclays. The presentation focuses on the three big rotations Barclays’ analysts see coming this year. The rotation from low vol to value will, the analysts believe, come as a result of the reflationary environment. According to historic data, in 2010 and 2014 when investors last embraced reflation low volatility stocks derated to long term averages. Today, so far low…