Cheap Stocks to Finally Have Their Day in 2022, Investors Say
- Value was top style pick in informal fund manager survey
- BlackRock and Franklin Templeton see opportunities in value
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Banking on cheap stocks to outperform shares of faster-growing companies has been a losing proposition for years. Plenty of fund managers say they expect that to change in 2022, thanks in part to the prospect of higher interest rates.
Value -- equities that are inexpensive relative to earnings -- was the most popular investing theme for this year among 106 institutional investors informally surveyed by Bloomberg News in the first half of December. About a fourth of them said cheaper, old-economy stocks such as banks are the place to be, over ideas such as green energy, growth, U.S. technology and emerging markets.