US mid cap stocks offer a risk-return “sweet spot” between the opportunities of dynamic small businesses and the steady growth of large-cap companies.
Portfolio Manager Phil Taller talks about positioning the Mackenzie US Mid Cap Growth Class amid developments with the US economy, President Donald Trump and healthcare.
US small and mid cap equities started the year with a slightly negative first quarter. The Russell 2500 index returned -0.6% in US Dollars (2.4% in Canadian Dollars). The growth sectors of Health Care and Technology took the lead back from more cyclical sectors like Energy and Materials.
US small and mid cap equities finished the year with a strong fourth quarter. The Russell 2500 index returned 5.2% in US Dollars (5.6 % in Canadian Dollars).
US equities have performed well to the end of the third quarter. The Russell 2500 TR index returned 11.0% in US Dollars (3.0% in Canadian Dollars). Year to date the market continued to be led by Health Care and Technology, but in the third quarter there was a rebound in the more cyclical sectors.
US equities performed well to start the year. The Russell 2500 TR index returned 6.0% in US Dollars (2.4% in Canadian Dollars). The market continued to be led by Health Care and Technology – more of a growth-led market versus the value leadership that prevailed to end 2016. Outlook & Strategy