Number of Small-Cap M&A Deals At 10-Year High

Number of Small-Cap M&A Deals At 10-Year High The number of small-cap deals is expected to continue to grow, because CEOs are under pressure to increase profits Image: Legg Mason

Performance – Ratio of Russell 2000 Index to Nasdaq Composite

Performance – Ratio of Russell 2000 Index to Nasdaq Composite Small-cap stocks are currently at a record low relative to the Nasdaq Composite. Factors that could drive small-cap stocks to outperform include a rise in M&A and IPOs, robust earnings growth, and changes in interest rates. Image: BofA Global Investment Strategy