VTWO ETF

The Vanguard Russell 2000 ETF (VTWO) was introduced on September 22, 2010. It is a passively managed exchange-traded fund that aims to provide wide access to the Small Cap Blend part of the US stock market.

This bold forecast has gained support following President-Elect Trump's victory.

The Federal Reserve is slashing interest rates, which is great news for small-cap stocks.

After its huge rally, the S&P 500 is the most expensive it's been since the pandemic's height. Small-caps are now trading at a discount, but they historically trade at a premium to the S&P 500.

If you're interested in broad exposure to the Small Cap Blend segment of the US equity market, look no further than the Vanguard Russell 2000 ETF (VTWO), a passively managed exchange traded fund launched on 09/22/2010.

Tom Lee of Fundstrat Global Advisors has made a string of accurate market calls over the last couple of years. He still believes in the potential of small cap stocks, predicting a 50% return in the Russell 2000 index this year.

Small-cap stocks are trading for their lowest valuations relative to large caps in a quarter-century. The Russell 2000 is a broad index of small-cap stocks, and there's a low-cost Vanguard index fund that tracks it.

Tom Lee from Fundstrat Global Advisors thinks that the small-cap Russell 2000 index could rise by 40% by the end of summer. Over the past ten years, small-cap stocks have not performed as well as large-cap stocks, but certain economic and political factors might help small-cap companies do better soon.

Tom Lee of Fundstrat Global Advisors is coming off a string of successful stock market predictions this past year. Lee currently has his eye on small-cap stocks, calling for the Russell 2000 index to soar 50% in 2024.