Evan Frazier, CFA, CAIA
Senior Research Analyst
In a reversal of trends that had persisted for several years, value stocks have largely outperformed their growth-oriented peers since the fourth quarter of 2020. Though many factors have contributed to this change in investor sentiment, the resurgence of more cyclical areas of the market is likely being driven by the successful rollout of COVID-19 vaccines, which appears to have ended the pandemic in the United States and allowed the domestic economy to reopen to a significant extent. With equity markets likely pricing in a full economic reopening in the coming months, many investors are wondering if recent trends are sustainable, especially given the headwinds experienced by the value factor during the last decade. The aim of this newsletter is to assess the prospects of value stocks going forward in relation to those of their growth counterparts.
Read > Value Vs. Growth: Where Do We Go from Here?
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