Have Quality stocks lost their shine?

At the end of last year, Quality stocks were in their worst period of relative underperformance in two decades. While some managers may see this as an opportunity to buy the dip, experts argue that global disruption is now pervasive, undermining the effectiveness of a ‘Quality for Quality’s sake’ approach. Traditional Quality investing emphasises historical success, but a changing corporate landscape means this is far from guaranteed. Company life spans are shortening due to widespread pressures and technological change, and successful businesses within old-economy industries have been knocked...