Small-cap ETFs are a great way to gain exposure to companies that have high growth potential but may not yet be on the radar of larger investors. These companies are often in the early stages of their growth trajectory. That said, they have the potential to deliver outsized returns over the long term.
By investing in small-cap ETFs, investors can gain exposure to a diversified portfolio of these high-growth companies. As well as reduce their risk and increase their chances of success. The small-cap segment of the market is also less crowded than the large-cap segment. This allows investors to uncover hidden gems that could deliver substantial returns. This article will cover some of the top small-cap ETFs based on their year-to-date (YTD) performance.
Brazil Small-Cap ETFs
Brazil has been experiencing a period of economic growth. This has translated to strong performance in the country’s small-cap companies. As a result, two of the highest-performing Small-Cap ETFs based on YTD performance are focused on Brazil: The VanEck Brazil Small-Cap ETF (BRF) and the iShares MSCI Brazil Small-Cap ETF (EWZS).
The VanEck Brazil Small-Cap ETF (BRF) has been a standout performer this year, with a YTD return of 35.88%. This ETF is designed to target Brazil’s small-cap segment, providing investors with a unique opportunity to invest in the country’s small-cap companies. With its impressive performance and strategic focus, BRF is an attractive option for investors looking to tap into Brazil’s thriving small-cap market.
Another top-performing option for investors seeking targeted exposure to Brazil’s small-cap market is the iShares MSCI Brazil Small-Cap ETF (EWZS) which has delivered an impressive YTD return of 31.53%. The ETF’s specific design is to provide investors with targeted exposure to Brazil’s small-cap segment. This provides investors with a unique opportunity to gain exposure to this high-growth market. Which allows them to diversify their portfolios and potentially achieve attractive returns. With an expense ratio that is in line with other products in the category. The EWZS is a cost-effective way for investors to tap into this high-growth market. As Brazil’s small-cap companies continue to perform well this year, EWZS allows investors to capitalize on this trend and potentially achieve outsized returns.