Small-Cap Growth ETFs In The Spotlight by Leslie N. Masonson
Are you interested in learning more about using exchange traded funds (ETFs) in your trading? Leslie N. Masonson, an active ETF trader, is president of Cash Management Resources, a financial consulting firm that focuses on ETF strategies. He is the author of Buy—Don’t Hold: Investing With ETFs Using Relative Strength To Increase Returns With Less Risk; and All About Market Timing, as well as Day Trading On The Edge. His website is www.buydonthold.com, where he writes a weekly blog. To submit topics for future columns, reach him at firstname.lastname@example.org.
Decades of stock market research have found that about 90% of investment returns are due to asset allocation. And investing a percentage of assets in small-cap stocks has been a rewarding strategy. According to Ibbotson SBBI, from 1926 through 2016, small-cap stocks have out-performed large-cap stocks by 2.1 percentage points a year—12.1% vs. 10.0%, and especially in a rising interest rate environment ...