Value investing · Course 35 of 39 · The practice
What the evidence actually shows
The value premium as the studies measured it, the years it vanished, the arguments about why, and what survives once publication and costs are taken off.
For a reader who has learned the method and now wants the case against it. Every other course here teaches how to read a company. This one asks whether the discipline built on that reading has ever been shown to work, on what evidence, and what happened to that evidence after it was published.
After this course you can state what each founding study measured and on which market, describe the period in which the premium disappeared and how deep it went, set out both the risk reading and the mistake reading of the same data, explain what happens to a documented anomaly once it is documented, apply the multiple-testing problem to a literature with hundreds of factors, and name the distance between a printed result and a portfolio a person can hold.
A reader who finishes it can argue the other side. That is the point of it.
It assumes Screens and factors, where a ranked test is built and backtests are taken apart.
The method, not the running of it
What the evidence actually shows is 8 lessons on running the whole method on one company. Running it is the part that only happens against real filings, on a real date, and this course has none of yours. It also cannot tell you the day one of your reasons stops being true, which is the part that matters after you have bought.
See our methodology for how the product reads a filing and what it refuses to compute.