%0 Journal Article %A Stéphanie Desrosiers %A Mohamed Kortas %A Jean-François L'her %A Jean-François Plante %A Mathieu Roberge %T Style Timing in Emerging Markets %D 2006 %R 10.3905/joi.2006.669095 %J The Journal of Investing %P 29-37 %V 15 %N 4 %X Historical evidence suggests that relative-value and relative-strength strategies have cycled in and out of favor in emerging country selection. As such, style timing appears potentially rewarding. A risk-aversion proxy could be useful to distinguish between times when relative-value or relative-strength strategies outperform. The authors propose a criterion for style timing supported by psychological evidence that prior results affect subsequent risk-taking behavior. The authors find that a strategy using a relative-value (relative-strength) indicator following negative (positive) market performance presents consistent risk-adjusted performance that is superior to that resulting from either the relative-value or relative-strength strategies.TOPICS: Emerging markets, portfolio construction, in portfolio management %U https://joi.pm-research.com/content/iijinvest/15/4/29.full.pdf