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Investing In Quality Stocks

Observant1
edited February 19 in Other Investing
"A 2016 study, 'What is Quality,' looked at offerings from six index providers
and found they had little in common."

"(Quality means slightly different things to different people, but is generally a way of finding stable companies
in lucrative lines of business by using measures such as return on equity and borrowing levels.)"

"A long-running, publicly available database from AQR Capital Management, 'Quality Minus Junk,'
shows that its particular formula of buying quality and selling junk stocks struggled mightily following
last spring’s bounce. The strategy shot the lights out when the housing and dotcom bubbles burst."

"No wonder the much-studied quality factor still sort of works.
The times it does best is when most people don’t even want to hear about investing in stocks."
 
https://trk.wsj.com/view/6965296053e1c001a9787e7bqbouu.a2jh/b3761d68

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