Quality investors argue the usage of non-current balance sheet items, or the loss of effectiveness in investing on changes in analyst estimates.
Not exact matches
Mispricing theory would
argue that
investors are unable to correctly translate information beyond simple financial metrics into efficient prices, and risk theory would
argue that several metrics related to
quality are associated with a distinct undiversifiable correlation pattern, which in a multifactor setting may signal that
quality stocks are compensated by a risk premium.
Here are some highlights: Cost and performance: While Ritholtz believes
investors should allocate a «big chunk» of their portfolios to index investing because of lower costs and better performance, Kaissar
argues that active (primarily for those focusing on value,
quality and momentum) isn't necessarily more expensive than passive.
Novy - Marx
argues that
investors can «directly combine the
quality and value signals and, in line with Graham's basic vision, only buy high
quality stocks at bargain prices.
In the May 23, 2007 article titled, «Turtles in Omaha» Michael Mauboussin
argues that the
qualities that make
investors great are mainly emotional and psychological.
«Our focus has always been on
quality transactions,» says Rochelle Dobbs, managing director and head of origination of the CMBS group, whose
investors aren't
arguing with the Chase philosophy that better
quality real estate and stronger sponsorships create higher -
quality securities.
Since the beginning of Investing Architect, I've
argued that
quality real estate purchased in the context of and according to a sound overarching long term strategy can alter an
investor's life in fundamental -LSB-...]