Institutional Investor reports: Damian Handzy, head of research and applied analytics at Investment Metrics, told Institutional Investor that “the more interest rates go up, the more value [stocks] win.” Because growth stocks rely on long-term gains, they suffer more from the discounting effect of rising interest rates than value stocks do. Handzy added that one of his company’s 2021 studies has shown that value stocks would outperform growth stocks by 100 basis points for every 10 percent rise in interest rates.