Is Momentum Losing Momentum?

Momentum investing is a strategy which looks at relative trailing 6- and 12- month price performance when determining which stocks to overweight. 2018 has been a good year for momentum stocks, which are up an impressive 11.4%*. Stocks exhibiting value characteristics, on the other hand, have been the worst performers, up only 1.6% during this same time period. However, with momentum outperforming value, as well as the broader equity market, some investors have begun to question whether the outperformance of momentum has run its course.

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