Reported 12 months ago
Small cap stocks, represented by the Russell 2000 index, have been underperforming compared to large caps like the S&P 500. SS&C ALPS Advisors chief ETF strategist Paul Baiocchi explains that the current low valuation of small caps relative to large caps historically indicates a potential for strong future performance. Despite muted earnings growth, there are opportunities for investors in small caps, such as the ALPS O'Shares US Small-Cap Quality Dividend ETF, which screens for profitable, low-leverage companies with strong dividends.
Source: YAHOO