Rising Rates Can Be Good For Value

With the expectation for increased stimulus, stronger economic activity and higher interest rates, Value has outperformed Growth since 4Q20

Chart 1:

The Rotation is Real

  • Since November of 2020 value has outpaced growth
  • As COVID restrictions ease and the economy reopens value is poised to continue to benefit relative to Momentum stocks
  • As the recovery plays out, sustainable high quality companies should benefit
  • Continued expectation of rising rates

Why Anchor Capital?

  • Value investors since 1983 with a focus on capital preservation
  • Foundational value portfolios that can act as a core holding positioned to take advantage of a continued economic recovery
  • Full ESG integration
  • Seek to identify and own high quality companies across the value spectrum
  • A balance on return and risk: historically strong sharpe ratios


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