Historically Better than the Basket
Destra Capital
At Destra, we seek to find spaces in the market where there are inefficiencies and indexing isn't necessarily the best option. Active management has its merits in these spaces and should be considered.
Today we examine the Small Cap Growth space. The chart below shows the historical growth of $100K for an investment in the Russell 2000 Growth Index vs. the category average for U.S. Small Cap Growth Actively Managed Funds.
Long-term investors appear to receive the benefit of active security selection for Small Cap Growth portfolios. While indexing via an ETF may offer lower fees, the long-term benefits of actively selecting securities far outweighs the drawbacks from fees.
If you would like to learn more about the Small Cap Growth solutions that Destra offers, please click on the link below.