From CNBC: 2024-10-19 11:00:02

Stock picking is emphasized for exposure to small caps. Dimensional U.S. Small Cap ETF actively manages to avoid underperformers. The Russell 2000 small cap index is up over 12% this year, while the S&P 500 is up 23%. Top holdings include Sprouts Farmers Market and Abercrombie & Fitch, with cash as the highest holding at 1.13%.

Investors are seeking actively managed ETFs to eliminate small cap laggards. Global head of ETFs for BNY Mellon notes the shift in investor sentiment towards small caps. The Dimension U.S. Small Cap ETF is currently lagging the Russell 2000 by more than one percent this year, according to recent data.

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