Best Mutual Funds: Are Value Funds Critical For Diversification?
“Value funds may not be ‘lagging’ growth funds from a risk-adjusted perspective,” said Michael DeMassa, a certified financial planner in Sarasota, Fla. “When everything’s going up, you don’t understand the level of risk you’re taking. We like to add value funds to buffer the concentration in growth sectors because value takes some risk off the table and generally performs better than growth in challenging markets.”
