Please stay tuned for important disclosure information at the conclusion of this episode.

Welcome to Investing Insights. I'm your host, Ivana Hampton. The stock market as a whole may be overvalued, but there are still bargains to be found.

Currently, large-cap growth is outperforming other areas, but there are still bargains to be found. Currently, large cap growth is outperforming

other areas, but that doesn't mean all the stocks from that category are expensive. The opposite

is true with small value stocks. David Harrell investigated whether any stocks are bucking the trend.

Here's my conversation with the editor of Morningstar Stock Investor newsletter.

Welcome back to the podcast, David. Thanks for having me. Well, the Morningstar style box has been

around for decades. Talk about how the investing tool has evolved from describing mutual funds

to what it offers today. Sure. So, well, it predates my time at Morning Star, but I think our, just recently in the Longview

podcast with Christine Benz and Dan Lefkowitz, they interviewed our former colleague, John Reckenthaler,

and he was talking about the development of the style box.

And the idea of using a grid to describe stocks or stock portfolios did not

originate with Morning Star. And I think John said back in the 80s investing consultants to come up with

this four square grid, which they would use to describe portfolios, either being large cap or small cap,

or value versus growth. Now, John and Don Phillips, who was Morningstar's very first analyst,

were looking at this and thought it was not sufficient to describe, say, something like the S&P 500

or an S&P 500 index fund fund because it's neither value or growth.

So that led to their development of the now familiar nine segment Morning Star Stylebox,

which they introduced in 1992.

And originally it was just to describe Morning Star, I'm sorry to describe mutual fund portfolios,

but it soon evolved. We used it for stocks, and then we created

the Morning Star Market Barometer indexes based on that. And eventually it also became the way

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