Skip to main content
Advertising

Originally published Saturday, June 7, 2014 at 8:01 PM

  • Share:
           
  • Comments (0)
  • Print

Fund investors favoring value over growth

One challenge for value investors is that the stock market’s surge has made cheap stocks tougher to find. But managers say it’s not impossible.


The Associated Press

advertising

NEW YORK — The tortoise is running laps around the hare when it comes to investing in mutual funds.

Investors have been embracing stocks and pushed stocks into record territory.

But investors are focusing on mutual funds that buy cheap or underappreciated stocks, ones called value funds. Funds that specialize in more glamorous, high-growth stocks, meanwhile, are still getting the snub.

A net $7.9 billion flowed into domestic value stock funds through April of this year.

Over the same time, investors withdrew $8.2 billion from their growth counterparts, according to Morningstar.

The bias toward value stock funds began last year. As recently as 2012, investors were pulling out of both growth and value funds, still scarred from the financial crisis.

To be sure, value and growth stock funds aren’t the only options available.

Broad index funds are even more popular, with many investors choosing to own the entire market.

One challenge for value investors is that the stock market’s surge has made cheap stocks tougher to find. But managers say it’s not impossible.



Want unlimited access to seattletimes.com? Subscribe now!

Also in Business & Technology

News where, when and how you want it

Email Icon

Love the column? Pre-order the book!

Love the column? Pre-order the book!

Reserve your copy of "The Seattle Sketcher," the long-awaited book by staff artist Gabriel Campanario, for the special price of just $29.95.

Advertising

Advertising


Advertising
The Seattle Times

The door is closed, but it's not locked.

Take a minute to subscribe and continue to enjoy The Seattle Times for as little as 99 cents a week.

Subscription options ►

Already a subscriber?

We've got good news for you. Unlimited seattletimes.com content access is included with most subscriptions.

Subscriber login ►
The Seattle Times

To keep reading, you need a subscription upgrade.

We hope you have enjoyed your complimentary access. For unlimited seattletimes.com access, please upgrade your digital subscription.

Call customer service at 1.800.542.0820 for assistance with your upgrade or questions about your subscriber status.

The Seattle Times

To keep reading, you need a subscription.

We hope you have enjoyed your complimentary access. Subscribe now for unlimited access!

Subscription options ►

Already a subscriber?

We've got good news for you. Unlimited seattletimes.com content access is included with most subscriptions.

Activate Subscriber Account ►