Is value investing over?

It’s a difficult time for value investors. The theory goes that value stocks – those trading at a lower price relative to their fundamentals than others – ought to outperform the rest of the market over the long term.That’s not how it’s playing out. In the 10 years to 31 July 2026, the MSCI World Value Index generated an annualised return of 11.0%, compared to 13.3% for the MSCI World Index. The former index is based on the latter, with a tilt towards value stocks.