BofA Says Modified Value-Investing Approach Can Still Outperform
- Strategists recommend quality overlay and avoiding value traps
- Intel, Verizon are among names on ‘value meets quality’ screen
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Value investing has a checkered history over recent years but Bank of America Corp. strategists argue it can be modified and resurrected.
The investing style outperformed growth through much of the 20th Century until the global financial crisis hit, the strategists wrote in a note. After that, it fell behind: the Russell 1000 Growth Index is up 247% since the end of 2010, while its value counterpart has advanced just 75%.