A few months ago, I wrote about the mechanics of value investing and the many decisions that go into building value portfolios. Many investors believe that all value-based strategies will produce a similar performance. But in reality, the many portfolio construction decisions that value managers make...

There is perhaps no issue that is the subject of more debate in the factor investing community than factor timing. We are all trained to buy low and sell high, and it is tempting to conclude that we can do the same thing with factors. But in reality, it's not so simple.

Headline grabbing takes the market's valuation take an issue that can be very nuanced and try to make it simple, and as a result, the conclusions that are reached are almost always flawed. Trying to use the market’s valuation to predict short-term outcomes misses two important points that should govern any analysis of market valuation.