“Ignore Momentum at Your Peril”
Momentum investing in equity markets delivers “striking” and “remarkably persistent” excess returns, according to the most comprehensive study (PDF of article) to date of the phenomenon. Great line from article:
“Every investor we have come across has, explicitly or implicitly, used a momentum or counter-momentum strategy,” said Prof Marsh. “[Consequently] people can look like a genius by accident or they can look a fool when they are quite smart.
Note: Full study here (PDF Download). Prior research from Blackstar Funds.
