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Low Volatility Small-Cap ETFs Show Their Advantages

Benzinga.com
0 Comments| September 4, 2015

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Low volatility exchange traded funds, mainly the PowerShares S&P 500 Low Volatility Portfolio (NYSE: SPLV) and the iShares MSCI USA Minimum Volatility ETF (NYSE: USMV), have received plenty of attention this as investors are searching for ways to cope with increasingly volatile equity markets.

Rising equity market volatility has also been a drain on small caps and the corresponding ETFs, but investors can cope with lagging smaller stocks by availing themselves of the less bad opportunity set presented by the ETFs that are small-cap answers to the likes of SPLV and USMV. That includes the PowerShares S&P SmallCap Low Volatility Portfolio (NYSE: XSLV) and the SPDR Russell 2000 Low Volatility ETF (NYSE: SMLV).

Low Volatility

As their names imply, XSLV and SMLV are the low volatility answers to the widely followed S&P SmallCap 600 and the Russell 2000 indexes. Just as SPLV pulls the 100 S&P 500 members with ...

/www.benzinga.com/trading-ideas/long-ideas/15/09/5814890/low-volatility-small-cap-etfs-show-their-advantages alt=Low Volatility Small-Cap ETFs Show Their Advantages>Full story available on Benzinga.com

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