“To value or not to value? That is the question”

  • by
  • Value Insights

Every thoughtful investor should reflect on his own investment philosophy from time to time. This typically happens when his investment approach has been challenged by the market. Are my principle assumptions still valid? Have there been structural changes? Any sound investment strategy should have an economic and philosophical foundation which aims to achieve its long-term goals.


Our “genre” of value investing has been “out of style” for the longest duration in decades. We therefore pose ourselves the question: Will value investing still work in the future? Has slow growth, quantitative easing, and negative interest rates, coupled with demographic trends, moved the investing environment towards highly successful asset-light business models and thereby permanently disadvantaging business models which are asset intensive? Are asset intensive companies and sectors doomed and therefore rerated by the market permanently? To put it differently: Does the new economy negate some or many of the value investor’s principle underpinnings? It all depends on how you define value!

READ FULL ARTICLE

Goran Vasiljevic

Managing Director (CEO, CIO)

 

Go back

We use cookies on our website. Some of them are essential, while others help us improve this website and your experience. More information about the Privacy Policy
Change settings

Information regarding limited distribution

The English translation is only for the purpose of convenience.

The information on this website is not intended for people and companies located in regions where Lingohr & Partner Asset Management GmbH is not authorized to advertise or sell products or offer services. In particular, this information is not intended for distribution in the United States of America (USA), for citizens of the USA or for persons resident or domiciled in the USA or persons acting on their behalf. The content shown is for informational purposes only. In particular, it does not constitute an offer to sell, purchase or subscribe to other assets. In the event that a person, whose residence or office is located abroad, is able to access the website of Lingohr & Partner Asset Management GmbH and the information contained within, Lingohr & Partner Asset Management GmbH does not accept any guarantee or liability that the information contained complies with the relevant applicable legal provisions of the respective country.

Information regarding usage

The English translation is only for the purpose of convenience.

The use of the Insights page of Lingohr & Partner Asset Management GmbH is only permitted for institutional investors. The information provided in this area will be treated confidentially and is only intended for authorised third parties. The obligation to maintain confidentiality does not apply to information that is generally accessible. All publications contained in this area are for information purposes only and do not constitute investment advice or an invitation to buy or sell securities or other financial market instruments. All information and data in the publications are taken from sources that the publisher considers reliable and trustworthy at the time of writing. The publications contain only a non-binding and subjective opinion on market conditions and the investment instruments addressed at the time of publication of this publication.