The idea of new companies with capitating ideas and a high ceiling for growth wet your whistle? Small cap ETFs might be just your ticket, according to benzinga.com.
Opposed to large cap companies, the likelihood of exponential gains among small cap stocks is greater. On top of that, many smaller cap companies aren’t yet in the wheelhouse of institutional investors, the site continued. Plucking down cash on only a firm or two probably isn’t a sage move since smaller firms experience a certain rate of hitting the skids
Make way for small cap ETFs.
Best Small Cap ETFs:
The Best Overall: iShares Russell 2000 ETF
The Best for Active Traders: iShares Core S&P Small Cap ETF
The Best International Fund: Vanguard FTSE All-World ex-U.S. Small Cap ETF
The Best Growth Fund: SPDR S&P 600 Small Cap Growth ETF
The Best Value Fund: Vanguard Small Cap Value ETF
The Best Fund for Income: WisdomTree U.S. Small Cap Dividend ETF
According to thestreet.com, the Schwab U.S. Small Cap ETF is the top small cap ETF to add to your portfolio. While it tracks the Dow Jones U.S. Small-Cap Total Stock Market Index, it's not the S&P 600 Small Cap index or the Russell 2000. However, when it comes to exposure, it’s essentially the same.