The past two years have seen poor performance for value style indices and typical value managers globally, and stronger performance for momentum, growth and quality factors. There have been recent comments in the market that value is broken or that this could be the death of value.
The global Purchasing Managers’ Index (PMI) has been in decline since 2017. Combined with the heightened risk of a prolonged US-China trade war; this has caused global interest rates to decline and for the US Federal Reserve to halt any further tightening of monetary policy.
