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  • Ted January 2012
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January Effect Update

MJG
edited January 2012 in Fund Discussions
Hi Guys,

CXO Advisory Group just updated their analysis of the equity marketplace January Effect.

If you wish to explore this topic more fully, I have provided a Link to that study as follows immediately:

http://www.cxoadvisory.com/3878/calendar-effects/january-effect-over-the-long-run/#more-3878

Based on their updated assessment CXO concluded that “In summary, evidence from long run data suggests that the conventional wisdom regarding outperformance of the U.S. stock market during the month of January derives either from snooping of an insufficient sample of older data or a real effect that the market has recognized and extinguished. Recent January returns are relatively weak.”

The marketplace has a way of recognizing biases and trends, and next reacts in a manner that eliminates or suppresses their impact. Over time, the markets gravitate, sometimes very slowly, towards efficiency.

Enjoy the article.

Best Regard.

MJG

Comments

  • TedTed
    January Effect Update End First Week:
    FYI:
    Regards,
    Ted

    S&P 1500 Composite Index 1.63% YTD
    S&P 600 1.24% YTD
    S&P 500 1.67% YTD
    S&P 400 1.42% YTD
    S&P 100 1.80% YTD
    S&P 600 Growth .59% YTD
    S&P 600 Value 1.92% YTD
    S&P 400 Growth 1.08%
    S&P 400 Value 1.77%
    Russell 2000 1.20% YTD
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