Value investing financial sector fundamentals are

Financial sector fundamentals are strengthening with bank loan growth up 4.3% YoY. Value investing metrics highlight regional banks with P/B ratios under 1.0, suggesting potential re‑rating as interest rates stabilize toward late Click here to sign up for a free trial to the Research Wizard today. You’re going to do this globally. And this may be more specific to some quants than others, but we have always favored not taking an industry bet when it comes to value. We found historically, and we wrote a paper on this. I’m going back even further. This is 1995—only 30 years ago—we wrote a paper showing that value and most other quant strategies outside of momentum don’t do a particularly good job at the industry decision; do better if you take that out. You do all those things. It still hasn’t been a banner period for values since 2022, but it’s actually held its own. If you do the traditional ways and the index ways, and you actually went short the Magnificent Seven, you have not had a very good time as a value manager of any kind since then. In normal times, these are very different strategies. This construction matters. I will say during wild blow off, plus or minus six months around a bubble peak, how you construct these things matter a lot less.