New Research on the Long-Term Outlook for Growth Investing
We take a look at the characteristics of growth investors and whether growth stocks are on the decline. In other capital-growth-related news, signs are pointing towards a downward trend in the tech sector but continued growth for financial stocks.
The author looks at the debate on the value premium and whether it is risk-based or behavioral-based. A study published in February 2017 titled “Who Are the Value and Growth Investors?” breaks down the demographics among value and growth investors and what this means for investors.
Despite consistently strong performance from the tech sector, there are warning signs that may be coming to an end. Rising volatility may indicate a coming sell-off. “Investors are rotating to value stocks and away from growth stocks.” Larry McDonald, the author The Bear Traps Report, warns investors may want to get out ahead of the decline.