Global Factor Performance Summary – October 2026: Quality surges as Momentum falters again

This monthly publication tracks Quant factor performance across the nine MSCI-based universes below. Since the Global Momentum crash in July, the emergent leadership has been driven by Quality, Value and Low Vol names. Last month Quality was positive in almost every market, supporting our broad style call for Quality at a Reasonable Price. Momentum has had another massive leg down again as higher yields, geopolitical uncertainty and concerns about the durability of the AI trade weighed on risk appetite and added pressure to crowded Momentum exposures. Our JPM QMIs globally have been favoring Quality over Momentum everywhere: we are OW Quality in every region. October simply reinforced our case for a durable combination of Quality and Valuation styles, and continued hedging of Momentum exposure. Higher yields, persistent inflation and energy-price volatility raise the difficulty level for companies as financing becomes costlier and earnings less predictable, making strong profitability