Small Cap Growth

Why invest in Small Cap Growth

Small caps are companies with a market capitalization between $300 million  to $2 billion . Being smaller in size the small cap companies have a greater capacity for growth and outpacing the returns when compared to large cap and mid cap companies. Most small cap companies tend to be focused on domestic economy  so they are not exposed to currency fluctuations and international risks.

Key indicators to consider before investing

  • Interest Rates
  • Inflation
  • Consumer Spending

Top 5 ETF’s by Market Capitalization

Name of the Fund Ticker Symbol /Total AUM* Year of Inception Expense Ratio
 Vanguard Small-Cap Growth  VBK  01/26/2004  0.08%
 iShares Russell 2000 Growth   IWO  07/24/2000  0.25%
 iShares S&P SmallCap 600 Growth  IJT  07/24/2000  0.25%
 SPDR S&P 600 Small Cap Growth  SLYG  09/25/2000  0.15%
 Vanguard Russell 2000 Growth   VTWG  09/20/2010  0.20%

 

 

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