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iShares U.S. Small Cap Index ETF (CAD-Hedged) (XSU)
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iShares Russell 2000 ETF (IWM)
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iShares S&P U.S. Small-Cap Index ETF (XSMC)
Q: Hello, I asked a question, not long ago, on XSU. Thank you for your answer. Now, I would like you to compare it to XSMC. I know it is way smaller, but the returns have been much better the past 2 and 3 years, 15 to 20% better (I know they don’t follow the same index). This order of magnitude is still surprising to me, unless much of it is a function of the exchange rate fluctuation. I know it is difficult to evaluate, but is this outperformance likely to continue? Is the small size of this ETF a dealbreaker? Thanks.
Read Answer Asked by Martin on June 12, 2023-
iShares Core S&P Total U.S. Stock Market ETF (ITOT)
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Vanguard FTSE All-World Ex-US Small Capital Index Fund ETF (VSS)
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iShares Russell 2000 ETF (IWM)
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iShares Core S&P Small-Cap ETF (IJR)
Q: If one already has a 10% weighting in ITOT would an additional position in a small cap fund be warranted? Which ETF is preferred for small cap exposure and why - IJR or IWM? It appears IJR has outperformed on all timelines. Is this due to its more concentrated approach? Is there a global small cap etf that is recommended?
Read Answer Asked by Matthew on June 02, 2023Q: Not having a lot of personal expertise in U.S. small caps, I thought a closed ended fund or index ETF might be the way to add some U.S. small cap exposure. Can you comment on the value of Royce Micro Cap Trust or the Russell 2000 for 5-10% of an otherwise reasonably diversified portfolio?
Read Answer Asked by David on May 18, 2023