A portfolio based upon value (where value is interpreted as something like book-to-market or sales-to-market) has been shown to provide consistent excess returns. However, has it been considered that as much as this is a testament to value-investing, that this could equally be an indictment of growth-investing and that future cash flows are not predictable enough to be of use?
tl;dr Is it the power of value driving HMLs returns or the futility of growth investment?
Submitted April 05, 2017 at 02:11PM by AnEqualOppositeRxn http://ift.tt/2oJxKDf
