Equity quant models update: Sectors & Styles – Relevant Signals

The in-house macro-based regression models are set up to provide indications of over- or undervaluation of the underlying index vs the broad European index. These represent a useful tool, complementing a more qualitative assessment and bottom-up analysis.

Highlights:

  • The in-house macro-based regression models are set up to provide indications of over- or undervaluation of the underlying index vs the broad European index. These represent a useful tool, complementing a more qualitative assessment and bottom-up analysis.
  • Among the European equity sectors: financials, health care, energy and utilities look undervalued while industrials, materials and information technology look overvalued.
  • Among the European equity styles: value is undervalued and growth is overvalued. Large cap as a whole appears to be overvalued, while its value subcomponent is still undervalued. Similarly, small caps look undervalued, with the exception of its growth subcomponent which looks fairly valued.

Download the full publication below

EQUITY QUANT MODELS
UPDATE: SECTORS & STYLES – RELEVANT SIGNALS

RELATED INSIGHTS

COVID-19 FACTS & FIGURES
The World Bank is launching a $4 billion financing platform aimed at boosting the production and supply of critical healthcare products in developing countries.
GLOBAL VIEW – ENJOY SUMMER WHILE IT LASTS
As lockdowns have been lifted and global activity rebounded from the Q2 nadir, hopes of a strong recovery have helped risk assets advance further over July.
Generali Investments among preferred asset managers brands in Europe
We are pleased to share with you the outcome of the first survey on “Preferred Asset Management Firms by European fund selectors” run by Cerulli Associates, in which Generali Investments ranked #11.