Quality stocks have been shown in studies to have robust historical performances. 1 This analysis takes a deeper look into the Quality factor’s performance by breaking out its history into the four stages of the business cycle: Early, Mid, Late, and Recession.

Overnight, U. S. stocks posted their strongest rally in years, after the country’s October consumer price data provided further confirmation inflation has indeed peaked. These are big moves that investors cannot afford to miss, which is why we will continue to generally advise being greedy when others are fearful.

Warren Buffet has famously advised that “To invest successfully over a lifetime does not require a stratospheric IQ, unusual business insights or inside information. What’s needed is a sound framework for making decisions and the ability to keep emotions from corroding that framework. ” In this article, I’ve provided a basic framework to help you make sound investment decisions.