It is believed that small-cap value stocks are excellent long-term investments, but over the past three years, the Russell 2000 Value Index has lagged the benchmark Russell 2000 Index and the Russell 2000 Growth Index in significant fashion.
Small-cap value stocks lagging broader small-cap benchmarks and growth equivalents might imply that small-cap dividend payers have faced headwinds as well. The WisdomTree SmallCap Dividend Fund (ETF) (NYSE: DES) has something to say about that. Although the Russell 2000 Value Index is up 24.6 percent over the past three years, DES has thrashed those returns by soaring 38 percent, including dividends paid, over the same period.
Dividends And Small Caps
While the number of small-caps paying dividends has increased in recent years, the number of dividend payers residing in this cap spectrum is significantly less than investors are accustomed to finding in the large-cap universe. ...
/www.benzinga.com/trading-ideas/long-ideas/16/05/7918486/a-small-cap-dividend-etf-keeps-proving-its-worth alt=A Small-Cap Dividend ETF Keeps Proving Its Worth>Full story available on Benzinga.com
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