Factor Investing Update: An Analysis of 2019 U.S. Factor Returns

In case you missed it, 2019 was a good year to be an equity investor. Examining market-cap-weighted indices, the U.S. stock market was up ~ 30%, Developed International Markets were up ~ 22%, and Emerging Markets were up ~ 18%. But how did factors do in 2019? Below I update my post from last year, examining the performance of simple factor portfolios. This year, I make some minor tweaks to highlight the performance while varying the level of concentration towards each factor. Let’s dig into the results. Factor Investing Data and Results Similar to…