Description
People have been waiting for a value comeback for over ten years, and jumping in has been like catching a falling knife. But for a long-term investor, avoiding value stocks now would reject many arguments for their comeback.
Learning Objectives
By the end of the session attendees will understand:
• Value’s drought is in the first percentile of the worst performing market periods in history.
• Growth trees don’t grow to the sky.
• Waning Policy Uncertainty should benefit the value style.
• Value has outperformed after 14 of the last 14 recessions.
• Value likes rising bond yields.
• A weaker dollar has historically meant value outperformance.
• Accelerating earnings have historically meant value outperformance.
• High quality Defensive value (dividend stocks) is historically inexpensive.
• Defensive Value historically shines in volatile markets.
• Proposed policies from the democratic administration would favor a defensive value comeback.
• Defensive value is arguably the best income portfolio right now.
• The dividend yield factor hasn’t been this inexpensive in 35 years.