The Market's Best-Kept Secret | Travis Prentice on Momentum's Surprising Edge

In this episode of Excess Returns, Justin and Jack welcome Travis Prentice from Informed Momentum Company to discuss the ins and outs of momentum investing. Travis brings nearly three decades of momentum investing experience and shares valuable insights about momentum strategies, misconceptions, implementation challenges, and how momentum can be effectively combined with other factors. This conversation offers both beginning and experienced investors a comprehensive look at this powerful investment strategy. Topics Covered: What momentum investing is and how it differs from growth investing The mechanics of cross-sectional momentum and relative strength Common misconceptions about momentum strategies How fundamental data can enhance momentum strategies The significance of continuous vs. dynamic momentum Portfolio construction, sector concentration, and rebalancing approaches Momentum performance across different market caps and geographies The risk profile of momentum vs. value strategies Momentum crashes - what they are and how to mitigate them Tax efficiency of momentum strategies The impact of passive investing on momentum strategiesOptimal factor combinations for diversified portfolios