Investor interest in small caps is spiking following last month's rate cuts. The possibility of further cuts, too, compounds that growing appeal for smaller firms.
What sets small-caps strategies apart from one another? While the impact of rate cuts may not yet be fully understood, small-caps could be poised to disproportionately benefit.
For decades, risk-tolerant investors searching for added upside and diversification embraced small-cap stocks. Through many of those years, though with added volatility, smaller equities outperformed their larger peers.
Many investors are likely looking to small caps right now, and for good reason. Larger firms remain expensive in the U.S. stock market, with many investors heavily exposed to that category.
The ALPS O'Shares U.S. Small-Cap Quality Dividend ETF (OUSM) was launched on 12/30/2016, and is a passively managed exchange traded fund designed to offer broad exposure to the Small Cap Blend segment of the US equity market.
Following a less-than-stellar start to the year, small-cap stocks and the related exchange traded funds recently perked up. For the 90 days ending Aug. 27, the Russell 2000 Index gained 6.9%.
Could now be the time to consider small caps? Rate cuts once again, appear imminent, now backed by explicit comments from Fed Chair Jerome Powell.
Making its debut on 12/30/2016, smart beta exchange traded fund ALPS O'Shares U.S. Small-Cap Quality Dividend ETF (OUSM) provides investors broad exposure to the Style Box - Small Cap Blend category of the market.
On this episode of the “ETF of the Week” podcast, VettaFi's Head of Research Todd Rosenbluth discussed the ALPS O'Shares US Small-Cap Quality Dividend ETF (OUSM) with Chuck Jaffe of “Money Life.” The pair talked about several topics regarding the fund to give investors a deeper understanding of the ETF overall.
VettaFi's Head of Research Todd Rosenbluth discussed the ALPS O'Shares U.S. Small-Cap Quality Dividend ETF (OUSM) on this week's “ETF of the Week” podcast with Chuck Jaffe of “Money Life.” For more news, information, and analysis, visit the ETF Building Blocks Channel.
Many investors are watching closely for rate cuts to arrive this Fall. Those keeping a close watch likely understand that rate cuts may benefit certain areas more than others.
Everyone has a take on the ongoing discourse on rate cuts. Whether the Fed will drop a rate cut at its next meeting or slow-roll them with just one this year and more next, investors are looking at their options.