Mind the gap (again)

Beware the bubble in growth stocks: James Lowen and Clive Beagles on the new 'Nifty 50'.   

  • James Lowen
  • Clive Beagles
29 Jul 2019
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For professional investors only. 

  • The market is extremely polarised: value factors and stocks have almost never been so out of favour and investor demand for growth factors and stocks has almost never been so rampant.
  • Quality, growth, momentum and low volatility stocks are, in our view, trading at dangerously high levels, with passive investors being exposed to substantial valuation risk. 
  • In contrast, the JOHCM UK Equity Income Fund’s price-to-book valuation versus the market is at its lowest ever level.   


Past performance is no guarantee of future performance. The value of investments and the income from them may go down as well as up and you may not get back your original investment. The information contained herein including any expression of opinion is for information purposes only and is given on the understanding that it is not a recommendation. The Fund’s investment include shares in small-cap companies and these tend to be traded less frequently and in lower volumes than larger companies making them potentially less liquid and more volatile.

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