- The fund manages value equity portfolios for leading endowments/foundations and pension plans, and for individual investors from around the world.
- Pro-value cycles have historically been long and durable. The evidence suggests we are in the early stages of what may be a powerful period of value outperformance.
- Cyclical companies, whose earnings were most impacted by the lockdown, should see the strongest earnings growth, as revenues recover, and operating margins expand as expenses are held in check.
- The relatively modest outperformance of value compared to past value cycles, and the extreme depth of the previous anti-value cycle, all portend a strong recovery.
For further details see:
Pzena Investment Management Q1 2021 Commentary