As interest rates decline, diversifying beyond just large-cap stocks becomes critical; overconcentration in tech giants poses risks amid mounting market correction fears.
Investors should not overlook small- and mid-cap stocks, as they may offer growth opportunities that the mega-cap stocks currently dominate.
Though small-cap stocks can lead to greater volatility, they provide a crucial avenue for diversification against impending market corrections.
The IWM ETF is highlighted as an effective tool for entering the small-cap market, catering to investors amidst a low-rate environment.
#market-diversification #small-cap-stocks #investment-strategy #interest-rates #portfolio-management
Collection
[
|
...
]