Arnott, who pioneered an investing technique called smart beta, says value stocks look attractive in such an environment.
have garnered massive amounts of investor attention as their newly minted issues hit publicly traded markets for the first time.
"Today you're seeing similar narratives that these companies are disrupters, that these companies are taking out entire industries," he added."It bears notice that disrupters get disrupted." Arnott references the likes of Blackberry Limited and Palm as two prime examples of how quickly pioneering firms can succumb to new entrants. These once ground-breaking, technology giants of the 2000s are more or less irrelevant today.
"It's trading in its cheapest quintile historically," he said in reference to the value factor."The spread between growth and value is wide enough that just coming back to historic norms — just getting repriced to the normal, valuation spread — would deliver over 2,500 basis-points of incremental performance in the US, and over 4,000 basis-points of incremental performance in emerging markets.
Singapore Latest News, Singapore Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
The stock market is experiencing a rare trend that was connected to the last two market meltdowns. Here’s why it’s ominous for investors, and what they can do about it.The trend underscores the heightened anxiety that investors have concerning the stock market's future.
Read more »
Latest News - MarketWatchGet the latest stock market, financial and business news from MarketWatch.
Read more »
Celgene to sell psoriasis drug Otezla for $13.4 billion to AmgenCelgene Corp will sell its psoriasis drug Otezla for $13.4 billion in cash to Am...
Read more »
Self-made millionaire: This is the greatest paradox of wealth—and most people fail to recognize itA lot of people claim they value time over money, but if you look at their calendars, you'll find that the exact opposite is true.
Read more »
Celeb Jewelry Hot Spot Avianne and Co. Gets Robbed, Employees Tied UpAvianne & Co. got robbed in broad daylight, and it's likely the crooks made off with a huge bundle.
Read more »