Contrarian: The changing face of value investing

As we fast approach Christmas, I want you to think about the suffering of investment contrarians.

Value investing has been under-performing for quite some time since the global financial crisis. The easiest way of observing this worrying state of affairs is to look at specialist indices which track value stocks within the developed world markets. A paper by Jason Hsu of Research Affiliates back in 2014 reviewed the performance of these classic value indices and found their performance has been somewhat disappointing. Over the past 10, 20 and 30 years, the return of classic value indices is found to be in line with, or even slightly lagging the market. But maybe this dismal picture...