Value premium
 | This article includes a list of references, related reading, or external links, but its sources remain unclear because it lacks inline citations. (January 2020) |
In investing, value premium refers to the greater risk-adjusted return of value stocks over growth stocks. Eugene Fama and Kenneth French first identified the premium in 1992, using a measure they called HML (high book-to-market ratio minus low book-to-market ratio) to measure equity returns. Other experts, such as John C. Bogle, have argued that no value premium exists, claiming that Fama and French's research is period dependent.
References
[edit]- L’Her, Jean-François; Tarek Masmoudi; Jean-Marc Suret (July 2003). "Evidence to support the four-factor pricing model from the Canadian stock market" (PDF). Retrieved 2006-06-27.
{{cite journal}}: Cite journal requires|journal=(help) - Bogle, John C (February 15, 2001). "The Stock Market Universe—Stars, Comets, and the Sun". Retrieved 2006-06-27.