Janus' Eisinger to double value exposure despite falls

Janus Capital's John Eisinger is doubling his exposure to value stocks although they have dragged on performance, as he said more QE would not be enough to rescue US growth prospects.

The manager of the £783m US All Cap Growth fund blamed a wrong bet on value over growth for the fund's 7% fall in six weeks amid widespread panic selling. "Growth has outperformed value by the largest extent since the tech bubble in 1999. This explains much of the portfolio's underperformance as we have been positioning it into value stocks thinking growth expectations were too high and growth stock valuations were expensive," he said. However, the manager will continue seeking deep value opportunities in the view the US is facing a prolonged period of low growth which a further round...