The rapid rise of ETF investing has pooled investor money into the largest companies in the market, without regard to financial strength or valuation. Moreover, the rise of ETF’s has led to investor neglect in smaller companies that are not represented in major benchmarks, as they do not receive buying support from ETF’s. We believe this neglect has and will continue to create overlooked valuation opportunities in the small and mid-cap sector.
- Chip Rewey