Over the past ten years, Value investing has underperformed significantly. However, Abdulaziz believes that reports of Value’s demise have been greatly exaggerated.
The big question of why this "value dip" has been so large, and has lasted for so long, remains unanswered. While some people have argued that it proves that the value premium never existed, the empirical data supporting the existence of a value premium is too strong to dismiss. Another argument being made is that value investing simply became a crowded trade, but that is inconsistent with Mayar's Strategy’s relative valuation widening and it isn’t supported by fund flow data either. A far more likely explanation, they think, is that the economy evolved and many value investors have not evolved with it.
If value investors continue to fixate on traditional valuation metrics, they will find themselves confined to an ever-shrinking part of the market and one that is not representative of the overall economy.
- Their approach in identifying and uncovering the true earnings power of the companies they invest in
- How they think about future cash flows and the role it plays in customer lifetime value
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Abdulaziz A. Alnaim
Managing Director & Portfolio Manager
Abdulaziz is the founder and Managing Director at Mayar Capital and manages the firm's flagship responsible global value investing strategy. Prior to founding Mayar in 2011, he managed a portfolio using a similar strategy at Yareem Ltd. for eight years. Abdulaziz has board-level experience in multiple industries including asset management, investment banking, insurance, food & beverage, amusement parks, chemicals, logistics, and education. Abdulaziz is a CFA charterholder a member of YPO. He holds a bachelor's degree in Management Science with a concentration in Finance and a minor in Economics from MIT.
Chief Operating Officer at Allocator
With more than 10-years of experience in the investment software and data industry, Liam's primary focus is on managing day-to-day operations across the business to ensure that Allocator effectively serves its clients as the leading intelligence platform for institutional investors. Before joining Allocator, Liam was responsible for building out global client service operations for Morningstar Inc. and built high performing support and customer success teams across EMEA and APAC. Liam went on to hold several Sales Director roles, most notably managing some of the top global client accounts outside of the U.S. for Morningstar Inc., and spent a great deal of his time enhancing and building sales and marketing operations for the business. Liam holds a Bcomm in Investment Management & Marketing from Stellenbosch University.