FSMD: Outperforming Small And Mid-Cap Benchmarks With Lower Volatility

Carlos R. Tartarini profile picture
Carlos R. Tartarini
491 Followers
(10min)

Summary

  • Lower interest rates are expected to improve the outlook for small and mid-cap stocks, making FSMD a suitable investment in this environment.
  • FSMD's multifactor approach has delivered superior returns and lower volatility compared to benchmarks like the S&P MidCap 400 and Russell 2000 indices.
  • FSMD's diversified allocation and reasonable valuation, with a P/E ratio of 16.0x, position it favorably among small and mid-cap ETFs.
  • FSMD's strong track record, lower volatility, and anticipated benefits from easing interest rates make it a compelling choice for investors.

Kanjana Jorruang/iStock via Getty Images

While the current environment for smaller companies remains challenging, lower interest rates are expected to improve the outlook for small and mid-cap stocks. However, since the reacceleration of economic growth may be a gradual process, funds with a blended

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