Market Shift from Growth to Value

Short-Term Bounce or Long-Term Trend?

By Yulin Long & Steve Rossi - October 2018

A Reversion to the Mean

The rotation from growth to value was not unexpected, and we view it as a reversion to the mean precipitated by the sharp spike in 10-year Treasuries. After periods of such extreme growth dominance, our analysis of historical patterns finds that the Russell 1000 Value Index may outperform the Russell 1000 Growth Index over the next 12 months.

Yulin Long, Ph.D., CFA
Yulin Long, Ph.D., CFA
Portfolio Manager
Senior Quantitative Analyst
Steve Rossi
Steve Rossi
Portfolio Manager

Market Shift from Growth to Value: Short-Term Bounce or Long-Term Trend?

Notes from the Disciplined Equity Desk

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