Value investors have fallen on difficult times in the most recent decade. Value’s extended underperformance has led many to question whether the strategy still works or if it is broken in some fundamental way. In this episode, we look at these arguments and discuss why we still believe in value.
- Whether value is cheap on a relative and absolute basis;
- If the risk- and behavioral-based arguments for value still hold;
- Why history gives us some reason for optimism;
- Why underperfomance would not be what we would expect if value is truly dead.
We hope you enjoy the discussion.
Jack’s article: The Case For Value Stocks
OSAM piece on the other periods where value has struggled for long periods of time, Value Is Dead, Long Live Value