One of the strongest facts about stock markets is that growth stocks tend to deliver disappointing returns on average over the long run. This is true for different definitions of growth. For example, the FTSE 350 low yield index - a gauge of stocks offering expected future growth - has underperformed its high-yield counterpart by 2.2 percentage points a year over the last 30 years. The FTSE Aim index, a measure of speculative growth stocks, is lower now than it was when it was launched in 1995. And US researchers have found "a strong negative correlation between a firm's asset growth and subsequent abnormal returns".

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