Table of Contents:
The success of US small caps in 2024
During 2024, US small caps demonstrated an extraordinary performance, driving a market rally that surprised many analysts. This phenomenon was fueled by a favorable macroeconomic environment, characterized by pro-business policies and expectations of interest rate cuts. Investors have started to focus on this segment, which is still considered undervalued compared to the overall market. ETFs dedicated to US small caps have recorded higher returns than other geographical areas, making this sector particularly attractive for those looking for investment opportunities
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The challenges of European small caps
Contrary to the success of US small caps, European and euro area small caps showed weak performance. Investors are reevaluating the opportunities offered by this segment, but economic and political uncertainties continue to weigh on growth expectations. Nevertheless, there are signs of a possible recovery, and bolder investors may find attractive opportunities in this market. The analysis conducted by the Quantalys research office has highlighted how diversification can be a winning strategy in
this context.
News in the Italian ETF market
An important innovation in the Italian ETF landscape is the opening of the VanEck branch in Milan, a strategic step to better serve local customers and take advantage of the growth of the ETF market in Italy. With an average annual growth of 28% in Europe, VanEck stands out for its innovation and attention to emerging trends, such as cryptocurrencies and the defense sector. Salvatore Catalano, head of sales Italy at VanEck, shared the company’s vision for the future, stressing the importance of adapting to the needs of the
local market.
Innovative asset managers’ strategies
Major asset managers are introducing new ETFs with innovative strategies to capture long-term trends. Invesco has launched three thematic ETFs focused on artificial intelligence, cybersecurity and defense, using advanced Kensho benchmarks. BNP Paribas AM presented the “Active ESG” range, which includes sustainable equity ETFs that comply with Article 8 of the SFDR regulation, combining traditional approaches with active ESG integration. Janus Henderson has expanded its offering with a high-conviction ETF on pan-European securities, while JPMorgan AM has introduced two new ETFs in the Equity Premium Income range, focusing on income-oriented strategies that are already highly appreciated in the United States. These initiatives reflect the growing attention to flexible and targeted tools, able to respond to the needs of a constantly evolving market
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