Not Mega-Caps…Mega Value Traps

The Citi Global Equity Strategy team of Robert Buckland, Mert C Genc, Beata M Manthey, Jonathan Stubbs and Ayush Tambi unravel the mystery of the chronic underperformance by the world’s largest 50 companies in their research work ‘Mega Traps’ on October 17, 2013. Not Mega-Caps…Mega Value Traps The authors point out that an index comprised of these 50 global behemoths… Would be up just 31 percent since 2003 while the rest of the market shot up 129 percent. Trade at a 20 percent PE discount. Are a global value trap. (“With hindsight, outperforming the global equity market has been easy…