Potential Growth Drivers for Small Caps in 2025

Reported 1 day ago

The Russell 2000 small-cap index has experienced a decline recently, but experts believe there are two significant growth tailwinds ahead for this market in 2025: improved valuations and strong earnings growth expectations. Glenmede's Mike Reynolds expects small caps to show growth exceeding 20%, much better than the anticipated 10% for larger companies like the S&P 500. He also notes that the Federal Reserve's monetary policy could support this upward trend, suggesting patience from investors can lead to future rewards.

Source: YAHOO

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