Relative Strength, also known as Momentum, has been proven to be one of the premier investment factors in use today. Numerous studies by both academics and investment professionals have demonstrated that winning securities continue to outperform. This phenomenon has been found in equity markets all over the globe as well as commodity markets and in asset allocation strategies. Momentum works well within and across markets.

Relative Strength strategies focus on purchasing securities that have already demonstrated the ability to outperform a broad market benchmark or the other securities in the investment universe. As a result, a momentum strategy requires investors to purchase securities that have already appreciated quite a bit in price.

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