Russell 1000 Growth

Submitted by Nick Colas of Datatrek Research

Poor, Poor Pitiful… Value Stocks

"Value trap". That’s a phrase we haven’t heard much in recent years, but GE seems to be bringing it back. And as we looked at the dramatic outperformance of growth stocks over value this year, it is clear that there are many such traps in US markets. Having covered the auto industry for a long time, we are well acquainted with the phenomenon. In today’s note: a 12-point list to help you identify value traps.

Exactly one month ago, when we learned that Goldman was looking to package its Hedge Fund VIP basket of stocks into an ETF we said, half jokingly, that we have discovered a "guaranteed way to make money: Short Goldman's "Hedge Fund VIP" ETF", adding that "with 5 of their Top 6 trades for 2016 already stopped out, and their recent heavy losses from swing-trading Gold,  one might question the demand for an ETF that tracks Goldman Sachs' hedge fund research tips, but, as Bloomberg reports,  David Kostin's "Hedge Fund Trend Monitor" report - tracking the 50 companies that matte