Big News for Small-cap ETFs?
October 6th at 1:00am by Tom Lydon
A look inside small-cap exchange traded funds (ETFs) reveals that the holdings have a wide variety of performance numbers. As hedge funds and ETFs seem to be buying back shares of small companies they had borrowed in hopes of a market fall, they are haphazard moves within the stocks. Some of the main indicator stocks, such as Intel (INTC) and Advanced Micro Devices (AMD), fell recently on warnings of "overcapacity," reports Rob Curran for The Wall Street Journal. While technology holdings were down, some homebuilder companies surprisingly increased. Levitt (LEV) rose 18.2% , and Realty Income Corp (O) was up 2.6%.
For an ETF that focuses on small-caps, consider the iShares Russell 200 Index (IWM). Currently, it’s up 7.7% year-to-date.
