Economy & Markets Jul 23, 2024

The Lion in Winter

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From 1930 to 2010, there were six extended periods of small cap outperformance as it dominated large cap over that entire period.  But since 2010, small cap sits alongside value stocks and non-US stocks in the unholy trinity of underperforming portfolio strategies.  While poor profit fundamentals argue against a prolonged period of outperformance vs large cap, small cap stocks are at their cheapest levels in the 21st century with potential market and political catalysts in their favor.  First, a few words on the CrowdStrike outage.
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Since 2005, Michael has been the author of Eye on the Market, covering a wide range of topics across the markets, investments, economics, politics, energy, municipal finance and more.

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