The chart of the week contrasts the historical performance of global value stocks and global growth stocks. Over time, historical performance has typically shown relatively modest differences based on calendar years. However, the last four years have diverged from this trend. Notably, in 2020 and 2023, growth stocks exhibited substantial outperformance, about 37% and 28%, respectively. Interestingly, between these years, there was a significant resurgence in value stocks, marking an impressive 21% outperformance in 2022 — the highest outperformance by value since the dot-com bubble burst in the early 2000s. As we navigate through 2024, there’s a possibility that valuations favoring value stocks could come into play. Or, will the ongoing advancement in AI continue propelling the growth stock trajectory? Stay tuned…