SPDR Portfolio S&P 600 Small Cap ETF

SPSM

Market cap $12.8B

Looking for broad exposure to the Small Cap Blend segment of the US equity market? You should consider the SPDR Portfolio S&P 600 Small Cap ETF (SPSM), a passively managed exchange traded fund launched on July 8, 2013.

SPDR® Portfolio S&P 600™ Small Cap ETF offers attractive valuation and exposure to profitable small-cap U.S. equities. SPSM has lagged both the S&P 500 and iShares Russell 2000 ETF over the past year but maintains a compelling PEG ratio and sector diversification. Technical indicators are mixed, with resistance at $47 and a downward-trending 200-day moving average, though a bullish golden cross has formed.

Fed's rate cut and hints of more such moves in 2025 spotlight ETFs like SPVU, RTH, SPSM, XYLD, CHAT and HYDR for growth and income plays.

The SPDR Portfolio S&P 600 Small Cap ETF (SPSM) was launched on July 8, 2013, and is a passively managed exchange traded fund designed to offer broad exposure to the Small Cap Blend segment of the US equity market.

We've been marveling at the performance of U.S. large-cap stocks since that early April low. We've also been tracking whether small-caps are finally going to keep up pace with their larger counterparts.

SPDR Portfolio S&P 600 Small Cap ETF's small-cap focus is risky now, as small caps are more sensitive to interest rates and macro headwinds than large caps. Recent and historical performance shows SPSM lagging large caps, with the gap widening due to tech sector strength and macro challenges. Short-term economic and labor market challenges, plus inflation uncertainty, make large caps more attractive than small caps at present.

Looking for broad exposure to the Small Cap Blend segment of the US equity market? You should consider the SPDR Portfolio S&P 600 Small Cap ETF (SPSM), a passively managed exchange traded fund launched on 07/08/2013.

Zachary Evens: Small stocks have underperformed their larger counterparts for a long time, prompting some people, including myself, to ask: why bother with small-cap ETFs? While there's an argument to be made on both sides, small-cap valuations are undeniably low, offering investors some upside if they converge with their fair value. Small-cap stocks are risky, though, and investors should control risk if they aim to capture that upside.

Launched on 07/08/2013, the SPDR Portfolio S&P 600 Small Cap ETF (SPSM) is a passively managed exchange traded fund designed to provide a broad exposure to the Small Cap Blend segment of the US equity market.

SPSM offers a low expense ratio of 0.03% and tracks the S&P SmallCap 600 Index. Small-cap stocks benefit from reduced U.S. corporate tax rates, looser M&A rules, and lower regulatory burdens, enhancing their long-term growth potential. Risks include higher volatility, negative impacts from immigration and tariff policies, and potential underperformance compared to mid-cap stocks.