Key Takeaways Persistent geopolitical and economic risks are improving the case for value investing. Value ETFs offer diversification, lower volatility and easier access to undervalued stocks.ETFs like VTV and IWS can help investors implement value investing.The last year was marked by tariff fears, geopolitical tensions and AI bubble concerns. This year too looks set for no less volatility, evident from the investor nervousness about the geopolitical landscape.Following the recent U.S. military operations ...

Core Viewpoint - Amid potential near-term volatility and global growth concerns, investors are likely to shift towards more stable investment strategies like value investing [1][4][5]. Group 1: Value Investing Overview - Value investing focuses on purchasing undervalued stocks based on fundamental analysis relative to their intrinsic value, aiming to profit from market recognition of these stocks over time [2][9]. - Value stocks exploit market inefficiencies and offer the potential for higher returns with lower volatility compared to growth stocks [3]. Group 2: Current Market Environment - Wall Street faces economic uncertainty due to legal uncertainties around tariffs and upcoming Supreme Court rulings, making value investing an attractive strategy [4]. - Fed Chair Jerome Powell's caution regarding overvalued equities may push risk-averse investors towards value investing as a strategic advantage [5]. Group 3: Risks in Technology Sector - Concerns about the sustainability of the AI boom highlight concentration risks in the technology sector, which could lead to significant losses if the AI-driven stock market bubble bursts [6][7]. - Adopting a value investing approach serves as a diversification option for investors looking to safeguard their portfolios against such risks [7]. Group 4: Value Investing through ETFs - Value investing requires patience and careful financial analysis, but using Value ETFs simplifies the implementation of this strategy for investors [8]. - Value ETFs focus on stocks with strong fundamentals that trade below their intrinsic value, offering potential for higher, stable returns and lower volatility [9][10]. Group 5: Recommended Value ETFs - Investors can consider several value ETFs, including Vanguard Value ETF (VTV), JPMorgan Active Value ETF (JAVA), Avantis U.S. Large Cap Value ETF (AVLV), iShares Russell Mid-Cap Value ETF (IWS), and Vanguard Small Cap Value ETF (VBR) for implementing a value investing strategy [11].