Tag Archives: growth

Pure Style Indices: A Finer Tool With Higher Style Focus

Style investing as an investment approach has long been utilized by market participants to group securities based on their common characteristics and risk/return drivers. Those common characteristics, in turn, help investors make strategic and tactical asset allocation decisions. The first-generation S&P U.S. Style Indices serve as effective underlying tools for market participants seeking a passive Read more […]

Looking at Sectors With a Style Lens

We’ve previously observed that we can view the world through both a factor and a sector lens, but what about overlaying sectors and style? This is indeed possible, as sectors can serve as implementation vehicles to achieve a particular view on style. Using value and growth scores that are reset annually for every constituent within Read more […]

S&P 500 Has Its Hottest Start Since 2003

In the first seven trading days of 2019, the S&P 500 returned 3.6%, its 12th best start on record since 1928 and best since 2003.  Also, the S&P MidCap 400 and S&P SmallCap 600 surpassed large caps by posting their best gains ever to start a year.  Lastly, more than half the segments by sector, size Read more […]

Large Caps Lag In Rebounds

The entire U.S, equity market lost on Monday, Dec. 17, 2018, meaning every one of the 42 segments by size, sector and style finished negative for the day.  This was the second day in a row with losses across the board.  From Oct. 10-11, 2018 was the last time two consecutive days with all losses Read more […]

Mid Caps Less Risky Than Large Caps?

In November, there was high market volatility in response to at least a few major events including the U.S. midterm elections, Brexit, G20 and Fed Chair Powell’s comments.  The risk (measured by 30-day annualized volatility) on Nov. 30, 2018 for the S&P 500 was 20.6%, which is 3.5 times higher than its risk of 5.9% Read more […]

Growth Is Still Hot Only In Small Caps

In July, the total return of the S&P SmallCap 600 Growth was 3.75%, which was 1.15% higher than the total return of 2.60% generated by the S&P SmallCap 600 Value.  This is interesting since typically growth does not outperform value in small caps when value outperforms growth in large and mid caps.  (In July, the total Read more […]

Energy Powers Small Cap And Value In April

In April, the S&P 500 (TR) gained 0.4%, ending its first consecutive monthly loss in almost two years, but the index is still down 0.4% year-to-date (ending April 30, 2018.)  Mid caps are also down for the year, -1.0%, after the S&P 400 (TR) lost 0.3% in April.  However, Small caps pushed into positive territory, up now 1.6% Read more […]

The Impact of Style Classification on Active Management Performance in 2017: Part 2

In our previous blog, we highlighted the contribution to domestic equity market returns by mega-cap stocks in 2017 and the implications for active management. In this blog, we focus our discussion on investment style classification. Specifically, we analyze the impact of the style classification scheme on managers’ performance analysis, such as in the SPIVA® U.S. Read more […]

Why Your Interest In Weights Should Rise With Rates

Historically as interest rates have risen, equities have done well.  As illustrated in this post, since 1971, the S&P 500 (TR) has gained about 20% on average in rising rate periods, has gained 8 of 9 times and has gained nearly 40% twice with less than a 4% loss for its worst rising rate period.  Also shown Read more […]

How Global Are the S&P 500®, the S&P MidCap 400®, and the S&P SmallCap 600® Style Indices?

In a prior post, we looked at the global exposure of the S&P 500. Given the large number of multi-national corporations based in the U.S., approximately 29% of S&P 500 revenues came from overseas in 2017. Beyond large-cap companies, do regional and country exposures change as investment style changes? In this blog, we add to Read more […]