Academic Studies vs. Practitioner Experiences with Equity Factors
February 5, 2025 - Size Effect, Value Premium
Can fund managers, and thereby individual investors, reliably exploit academic research on equity factors? In his January 2025 paper entitled “Do Factor Strategies Beat the Market?”, Edward McQuarrie reviews differences between the results of academic factor studies and fund manager/investor experience, with focus on the size effect (small stocks outperform) and the value premium (value… Keep Reading