@article {Bender1, author = {Jennifer Bender and Frank Nielsen}, editor = {Connett, Wendy}, title = {Practical Applications of Earnings Quality Revisited}, volume = {2}, number = {1}, pages = {1--4}, year = {2014}, doi = {10.3905/pa.2014.2.1.058}, publisher = {Institutional Investor Journals Umbrella}, abstract = {Earnings Quality Revisited Jennifer Bender Frank Nielsen The accruals anomaly as an earnings-quality strategy stopped working in the mid-2000s, when performance faltered and popularity waned, but since the end of 2008, it has staged a major comeback.The research in Earnings Quality Revisited , published in the Summer 2013 issue of The Journal of Portfolio Management , was prompted by a desire to revisit the earnings-quality strategy which hasn{\textquoteright}t gotten much attention from the academic and practitioner communities in the past five to seven years.Co-author Jennifer Bender, Managing Director for Research at State Street Global Advisors (SSgA), says institutional investors are interested in factors that outperform the market, and many incorporate the accruals anomaly. {\textquotedblleft}We{\textquoteright}re showing people there is still value in a signal that many say had its heyday a long time ago.{\textquotedblright}Bender and co-author Frank Nielsen, Managing Director for Research at Fidelity Investments , evaluate whether earnings quality is a true alpha signal, a risk factor, or both. Their research shows that even though earnings quality is a true alpha factor, or signal, it is not a good risk factor.TOPICS: Exchanges/markets/clearinghouses, technical analysis, in portfolio management}, issn = {2329-0196}, URL = {https://pa.pm-research.com/content/2/1/1.9}, eprint = {https://pa.pm-research.com/content/2/1/1.9.full.pdf}, journal = {Practical Applications} }