Amongst professional value investors – or at least the ones that have survived to this day – it is by now well-known that traditional value measures like price/book-ratios have become less informative for future performance. I have written here that this may be to a large part due to the rise of intangible assets on the balance sheets of so many companies. Stripping the balance sheets of companies from these intangible assets helps improve the value factor.
Ah - really cool. I do wonder what the correlation of an intangible asset portfolio is to that of a tech heavy portfolio. Confounding variables at play here...
Ah - really cool. I do wonder what the correlation of an intangible asset portfolio is to that of a tech heavy portfolio. Confounding variables at play here...