…current market cap, or are these implausible growth expectations? We do not have a crystal ball, of course, but we would recommend not betting on the momentum continuing,” said Arnott….
Search Results for: momentum
Is This Value's Moment to Shine?
There’s a “growing chorus on Wall Street for investors to look beyond the FANG momentum plays and more toward value stocks. In other words, investors are pulling a Warren Buffett.”…
Five Questions: Tackling Some of the Toughest Questions in Investing with Michael Mauboussin
…their view of reality in order to identify opportunities. For those who believe in the behavioral argument for things like value and momentum, the fact that expectations can sometimes become…
Commentary: Smart Beta vs. Alpha-Beta Combination
…difference between these two strategies through a long-short portfolio with exposures to the Size, Value and Momentum factors:” “Instead of structuring an equity portfolio as smart beta by selecting stocks…
Five Questions: Factor Timing with Nicolas Rabener
…that employ traditional momentum, industry momentum, value, and other commonly studied factors. Their results demonstrate that the momentum phenomenon is driven in large part by persistence in common return factors…
Shift from Momentum Proves Boon or Einhorn's Greenlight Capital
David Einhorn’s Greenlight Capital hedge funds gained 8.4% in September, bringing average weighted returns for the year to 24%, the company reported. This according to a recent article in Bloomberg….
The Rising Bar for Active Management
…MSCI U.S.A. Momentum Factor ETF, which currently charges a fee of 0.15%. If I am an active manager who invests in momentum stocks, the S&P 500 is no longer the…
O'Shaughnessy Insights on Value's Terrible Performance
…determine where opportunities may exist, including analysis of balance sheet and leverage levels, quality of earnings, momentum and quality of management. Although the turning point for value is difficult to…
Rob Arnott Claims Victory on Factor Crowding
…rise in Treasury yields “battered the bond-proxy names that have come to dominate momentum indexes, while lifting the banks and energy companies that populate value.” While Arnott—described by the article…
The Revival of Value Stocks Could Be the 'Real Deal'
…uncoil.” The article reports that value has outperformed momentum by 9 percentage points in September, the “widest divergence in performance between the two factors (for stock attributes) since 2010, wrote…