Domestic-orientated small caps excel as European recovery continues

Though often seen as less diversified than larger corporates, small-caps are coming up trumps as Europe's recovery continues, explains Antoine Lesne, head of ETF sales strategy EMEA at State Street Global Advisors

In this low yield environment, with seemingly no end in sight, small- and medium-sized firms have been on the minds of policy makers as they try to shift the European economy into a higher gear. There is no doubt the issues facing Greece are far from over, however contagion across the rest of the eurozone appears to be limited. We can see this offering up opportunities to savvy investors - but not without risk.  When taking a look at the European equity market, it is the smaller company segment that we see coming up trumps in an economy that is threatening to recover. By nature, sm...