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@Mapfre<\/a><\/p>\n[\/et_pb_blurb][et_pb_divider show_divider=\"off\" _builder_version=\"4.16\" background_color=\"#D81E04\" width=\"107px\" max_height=\"5px\" custom_margin=\"20px||20px||true|false\" custom_padding=\"||||false|false\" locked=\"off\" global_colors_info=\"{}\"][\/et_pb_divider][\/et_pb_column][et_pb_column type=\"3_4\" _builder_version=\"4.16\" _module_preset=\"default\" global_colors_info=\"{}\"][et_pb_text content_tablet=\"<\/p>\n
Uncertainty continues to dominate the markets, which in recent years have experienced it all: volatility, inflation, shifts in monetary policy, geopolitical tensions, and more. In this context, investors face the challenge of finding strategies that allow them to navigate successfully through an increasingly complex and dynamic environment\u2014and value investing seems to be regaining followers. But, is this bet on value really materializing?<\/strong><\/p>\n \u201cIt's not so much that value investing is making a comeback, but rather that there is no longer the strong tailwind of low interest rates that once favored the growth<\/a><\/strong> or expansion-oriented investment style,\u201d points out Javier de Berenguer, investment manager and fund selector at MAPFRE Inversi\u00f3n, on the Finect Alpha podcast<\/a>. However, that does not mean that there is a clear trend toward this style. \u201cValue is indeed performing better in relative terms, but it\u2019s not entirely true that it\u2019s doing much better than growth. It depends on where you look,\u201d he explains.<\/p>\n What value-focused managers have traditionally looked for are stocks that are not currently favored by the market\u2014whether due to structural issues or simply because they\u2019ve been overlooked\u2014but now they\u2019re going much further. \u201cIn that lost decade, many value-focused managers have taken the opportunity to transform and adapt to the new times. They no longer focus solely on whether a company is trading at a deep discount to its intrinsic value, but also on whether there\u2019s a nearby catalyst that could draw the market\u2019s attention to the company<\/strong>,\u201d explains de Berenguer.<\/p>\n That catalyst has been coming in recent months from political action, such as the push for the reindustrialization of Western countries, which is acting as a tailwind for the value style. \u201cThe industrial sector had been neglected, and it\u2019s closely linked to value. It\u2019s been performing quite well in Germany, for instance, following the series of investment plans that have been announced. We do see opportunities at both the sectoral level and in stock picking,\u201d he notes.<\/p>\n Banks (and financial companies, in general) are often one of the clearest examples of value investment. \u201cThere was a time when their business was very different from what it was in 2010: their balance sheets were completely healthy, but no one had the appetite to invest.<\/strong> This is also closely related to the narratives that form in the market, which have a strong influence,\u201d he points out.<\/p>\n From a more conservative perspective, the standout industries are basic consumer goods and healthcare, which haven\u2019t received much attention from investors in recent years, while the more risk-tolerant are already taking positions in the automotive sector.<\/p>\n By geographies, de Berenguer highlighted South Korea and Japan, not forgetting the Chinese technology companies, which are also performing well this year. \u201cIt makes sense to diversify at the regional, sectoral, and capitalization levels,\u201d insists the investment manager and fund selector at MAPFRE Inversi\u00f3n.<\/p>\n In fact, MAPFRE AM has a fund, MAPFRE AM US Forgotten Value<\/a>, which invests precisely in small and mid-cap companies. In this recent article<\/a>, Jonathan Boyar, director of Boyar Value Group and advisor to the fund, noted that the third quarter of this year has been the best for the Russell 2000 index<\/strong>, which comprises small- and mid-cap companies, since the end of 2023, and marks its first new all-time high since 2021.<\/p>\n Despite this good performance, Javier de Berenguer insists that growth remains the strategic commitment, although value is gradually carving out a place from a tactical standpoint.<\/p>\n \" content_phone=\"<\/p>\n Uncertainty continues to dominate the markets, which in recent years have experienced it all: volatility, inflation, shifts in monetary policy, geopolitical tensions, and more. In this context, investors face the challenge of finding strategies that allow them to navigate successfully through an increasingly complex and dynamic environment\u2014and value investing seems to be regaining followers. But, is this bet on value really materializing?<\/strong><\/p>\n \u201cIt's not so much that value investing is making a comeback, but rather that there is no longer the strong tailwind of low interest rates that once favored the growth<\/a><\/strong> or expansion-oriented investment style,\u201d points out Javier de Berenguer, investment manager and fund selector at MAPFRE Inversi\u00f3n, on the Finect Alpha podcast<\/a>. However, that does not mean that there is a clear trend toward this style. \u201cValue is indeed performing better in relative terms, but it\u2019s not entirely true that it\u2019s doing much better than growth. It depends on where you look,\u201d he explains.<\/p>\n What value-focused managers have traditionally looked for are stocks that are not currently favored by the market\u2014whether due to structural issues or simply because they\u2019ve been overlooked\u2014but now they\u2019re going much further. \u201cIn that lost decade, many value-focused managers have taken the opportunity to transform and adapt to the new times. They no longer focus solely on whether a company is trading at a deep discount to its intrinsic value, but also on whether there\u2019s a nearby catalyst that could draw the market\u2019s attention to the company<\/strong>,\u201d explains de Berenguer.<\/p>\n That catalyst has been coming in recent months from political action, such as the push for the reindustrialization of Western countries, which is acting as a tailwind for the value style. \u201cThe industrial sector had been neglected, and it\u2019s closely linked to value. It\u2019s been performing quite well in Germany, for instance, following the series of investment plans that have been announced. We do see opportunities at both the sectoral level and in stock picking,\u201d he notes.<\/p>\n Banks (and financial companies, in general) are often one of the clearest examples of value investment. \u201cThere was a time when their business was very different from what it was in 2010: their balance sheets were completely healthy, but no one had the appetite to invest.<\/strong> This is also closely related to the narratives that form in the market, which have a strong influence,\u201d he points out.<\/p>\n From a more conservative perspective, the standout industries are basic consumer goods and healthcare, which haven\u2019t received much attention from investors in recent years, while the more risk-tolerant are already taking positions in the automotive sector.<\/p>\n By geographies, de Berenguer highlighted South Korea and Japan, not forgetting the Chinese technology companies, which are also performing well this year. \u201cIt makes sense to diversify at the regional, sectoral, and capitalization levels,\u201d insists the investment manager and fund selector at MAPFRE Inversi\u00f3n.<\/p>\n In fact, MAPFRE AM has a fund, MAPFRE AM US Forgotten Value<\/a>, which invests precisely in small and mid-cap companies. In this recent article<\/a>, Jonathan Boyar, director of Boyar Value Group and advisor to the fund, noted that the third quarter of this year has been the best for the Russell 2000 index<\/strong>, which comprises small- and mid-cap companies, since the end of 2023, and marks its first new all-time high since 2021.<\/p>\n Despite this good performance, Javier de Berenguer insists that growth remains the strategic commitment, although value is gradually carving out a place from a tactical standpoint.<\/p>\n \" content_last_edited=\"on|phone\" admin_label=\"Content\" _builder_version=\"4.27.4\" _module_preset=\"default\" text_font=\"Open Sans||||||||\" text_text_color=\"#2D373D\" text_orientation=\"justified\" width=\"%22568%22\" height=\"%22476%22\" hover_enabled=\"0\" global_colors_info=\"{}\" sticky_enabled=\"0\"]<\/p>\n Uncertainty continues to dominate the markets, which in recent years have experienced it all: volatility, inflation, shifts in monetary policy, geopolitical tensions, and more. In this context, investors face the challenge of finding strategies that allow them to navigate successfully through an increasingly complex and dynamic environment\u2014and value investing seems to be regaining followers. But, is this bet on value really materializing?<\/strong><\/p>\n \u201cIt's not so much that value investing is making a comeback, but rather that there is no longer the strong tailwind of low interest rates that once favored the growth<\/a><\/strong> or expansion-oriented investment style,\u201d points out Javier de Berenguer, investment manager and fund selector at MAPFRE Inversi\u00f3n, on the Finect Alpha podcast<\/a>. However, that does not mean that there is a clear trend toward this style. \u201cValue is indeed performing better in relative terms, but it\u2019s not entirely true that it\u2019s doing much better than growth. It depends on where you look,\u201d he explains.<\/p>\n What value-focused managers have traditionally looked for are stocks that are not currently favored by the market\u2014whether due to structural issues or simply because they\u2019ve been overlooked\u2014but now they\u2019re going much further. \u201cIn that lost decade, many value-focused managers have taken the opportunity to transform and adapt to the new times. They no longer focus solely on whether a company is trading at a deep discount to its intrinsic value, but also on whether there\u2019s a nearby catalyst that could draw the market\u2019s attention to the company<\/strong>,\u201d explains de Berenguer.<\/p>\n That catalyst has been coming in recent months from political action, such as the push for the reindustrialization of Western countries, which is acting as a tailwind for the value style. \u201cThe industrial sector had been neglected, and it\u2019s closely linked to value. It\u2019s been performing quite well in Germany, for instance, following the series of investment plans that have been announced. We do see opportunities at both the sectoral level and in stock picking,\u201d he notes.<\/p>\n Banks (and financial companies, in general) are often one of the clearest examples of value investment. \u201cThere was a time when their business was very different from what it was in 2010: their balance sheets were completely healthy, but no one had the appetite to invest.<\/strong> This is also closely related to the narratives that form in the market, which have a strong influence,\u201d he points out.<\/p>\n From a more conservative perspective, the standout industries are basic consumer goods and healthcare, which haven\u2019t received much attention from investors in recent years, while the more risk-tolerant are already taking positions in the automotive sector.<\/p>\n By geographies, de Berenguer highlighted South Korea and Japan, not forgetting the Chinese technology companies, which are also performing well this year. \u201cIt makes sense to diversify at the regional, sectoral, and capitalization levels,\u201d insists the investment manager and fund selector at MAPFRE Inversi\u00f3n.<\/p>\n In fact, MAPFRE AM has a fund, MAPFRE AM US Forgotten Value<\/a>, which invests precisely in small and mid-cap companies. In this recent article<\/a>, Jonathan Boyar, director of Boyar Value Group and advisor to the fund, noted that the third quarter of this year has been the best for the Russell 2000 index<\/strong>, which comprises small- and mid-cap companies, since the end of 2023, and marks its first new all-time high since 2021.<\/p>\n Despite this good performance, Javier de Berenguer insists that growth remains the strategic commitment, although value is gradually carving out a place from a tactical standpoint.<\/p>\n [\/et_pb_text][\/et_pb_column][\/et_pb_row][\/et_pb_section]<\/p>\n","protected":false},"excerpt":{"rendered":" Value investing seems to be regaining followers. But, is this bet on value really materializing?<\/p>\n","protected":false},"author":60,"featured_media":460027,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"on","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[36],"tags":[],"class_list":["post-466285","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-markets-research"],"yoast_head":"\n