is value investing the best strategy in 2026?
In my last article I concerned myself with key macro influences such as US tariffs and a scarcity of high-calibre flotations in the UK. As uncertainties have grown, investors have prized listed companies that can beat expectations, which has particularly boosted US big tech firms.
Lest the growth party strikes midnight, however, a balanced portfolio would include classic “value” shares; companies with strong market positions but experiencing current challenges, hence their shares lacking growth appeal. It typically means low price/earnings (PE) multiples and pricing for a material yield to attract income investors.
The risk is that inherent problems mean profit warnings and a risk that investors are regularly tempted to average down….
