What Happened to Small Cap Value?
After rising more than 7% on Monday, the S&P 500 closed roughly 21% off all-time highs seen in late-February. The past two weeks or so have seen a bounce of more than 19%, which makes returns over the past year look none too bad, down just 6%.
The same can’t be said about small cap value stocks over the same time frame. At its trough, the Russell 2000 Value Index was down nearly 45% from the highs. Small cap value stocks are still down well over 30% over the past year.