12 month price momentum is a powerful driver of flows and performance. Over time, price momentum strategies aren’t mean reverting, one reason they are so popular. Over the past decade more strategies have adopted momentum as a key input to their processes so momentum begets momentum. Components of price momentum leaders/laggards change periodically. As recessions reset cycles they change fundamental…
Mike Wilson of Morgan Stanley: At Year-End
A financial market resource for the every-day investor and trader.
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I think the best way to describe the past trading week would be by using the word “funky”. NO,...
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