Small-cap stocks are positioned for significant upside in 2025, driven by recovering earnings, potential corporate tax cuts, and favorable valuations, according to Brian Manby, investment strategy analyst at WisdomTree.
In an exclusive interview with Benzinga, Manby shared his optimism for the Russell 2000 Index – as tracked by theiShares Russell 2000 ETF(NYSE:IWM) – which has already surged 23% year-to-date and achieved record highs on Monday, surpassing its previous peak from November 2021.
Manby said their domestic focus positions them as key beneficiaries of U.S.-centered policies, such as tax cuts and tariffs, while their relatively lower valuations create a compelling...
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