Maximum Trump Effect Foreseen in U.S. Small-Cap Stocks
U.S. investors seeking to make the most of Donald Trump’s presidential win would do well to favor smaller companies, according to Nicholas Colas, chief market strategist at ConvergEx Group LLC. Colas cited financial and industrial stocks as beneficiaries in a report Tuesday. Data compiled by Bloomberg shows the industry groups account for a combined 37 percent of the S&P SmallCap 600 Index’s value, beating their total weight of 31 percent in the S&P MidCap 400 Index and 25 percent in the S&P 500.