Ben Inker, GMO’s head of asset allocation for over two decades, says that the recent stock market rally has priced in an “an optimistic resolution to the coronavirus crisis, while…
Tag: GMO
GMO Excerpts: The Comeback Trail of Value Investing
A recent article in FT Alphaville offers insights from GMO’s Head of Asset Allocation Ben Inker regarding the potential for a value reversal, as outlined in the firm’s third quarter…
New GMO Research on Value's "Lost Decade"
A new study from the research firm Grantham Mayo Van Otterloo (GMO) shows that the erosion of the value premium over the last decade was due to “changes in relative…
GMO: Investor Strategies are Solving the "Wrong Problem"
A recent GMO client letter urges investors to “stop obsessing over their portfolios and pay more attention to factors beyond their holdings that are more difficult to measure” or risk…
GMO's Montier on the Dual Economy
A Financial Times article offers an in-depth discussion of GMO’s James Montier’s thesis that the U.S. is moving into a “dual economy where productivity growth is reasonable in some sectors,…
GMO Team Member Says Stocks are "Obscenely Overvalued"
In a paper published earlier this month, GMO’s James Montier argues that the stock market is in the grip of a “cynical bubble,” according to an article in Bloomberg. Montier…
Morningstar Survey Results for Long-Term Stock and Bond Returns
A recent Morningstar article outlined the intermediate-term (10-year) market return assumptions of a group of industry leaders that responded to a recent survey: John Bogle, founder of Vanguard: 4% stock…
GMO: Don't Blame Pricey Market Solely on Tech
A paper published last month by GMO argues that the market’s current elevated valuations should not be blamed solely on the technology sector. Still, it says the market is expensive…
GMO Paper Says Indexing the S&P 500 is Risky
A comprehensive white paper published by GMO’s Matt Kadnar and James Montier in August—arguing against a predominantly index-focused investment strategy–was condensed in a recent MarketWatch article. The article quotes the…
Natural Resource Stocks that Show Promise
The short-term volatility in natural resource stocks can leave investors skittish, especially given their movement with either commodity or equity markets. But Jeremy Grantham and Lucas White of global investment…