Factors: Ain't Misbehavin' | Equity ETF Channel
Prepared by Scott Opsal Investment styles generally have an inherent tendency to outperform in either bullish or bearish market environments. One cohort attracts buyers when the equity market is running higher and optimism prevails, while other styles draw interest when the market is weak, worry abounds, and safety is the desire of the day. Such a behavioral bias is built into some factors by design, others accrue their directional bias as a secondary result of economic or cyclical forces. There is no “official list” of bullish or bearish factors, so we must infer these tilts by examini...