Category: Q3 2023

Micro Cap Opportunities – Q3 2023 Commentary

November 20th, 2023
Market Review The Russell Microcap® Index declined 7.93% in the third quarter of 2023, as investors focused on the risks associated with the rapid rise in interest rates.  Companies with meaningful exposure to big ticket capital projects and those with higher corporate debt levels having become increasingly out of favor.  We continue to see inventory destocking…

Micro Cap – Q3 2023 Commentary

October 23rd, 2023
Market Review The Russell Microcap® Index declined 7.93% in the third quarter of 2023, as investors focused on the risks associated with the rapid rise in interest rates.  Companies with meaningful exposure to big ticket capital projects and those with higher corporate debt levels have become increasingly out of favor.  We continue to see inventory…

SMID Cap Growth – Q3 2023 Commentary

October 23rd, 2023
Macroeconomics and interest rate levels specifically continue to dominate the factors driving equity performance. While pockets of the economy have experienced significant corrections due to normalizing consumer behavior and supply chains, overall U.S. employment levels and consumption have remained relatively steady and better than original estimates entering the year. Additionally, while the rate of inflation…

Small Cap Growth – Q3 2023 Commentary

October 23rd, 2023
Macroeconomics and interest rate levels specifically continue to dominate the factors driving equity performance. While pockets of the economy have experienced significant corrections due to normalizing consumer behavior and supply chains, overall U.S. employment levels and consumption have remained relatively steady and better than original estimates entering the year. Additionally, while the rate of inflation…

ESG SMID Cap – Q3 2023 Commentary

October 23rd, 2023
The Russell 2500™ index returned (4.78)% in the third quarter of 2023, as concerns regarding the impact of higher interest rates moved to the forefront of investor sentiment as the quarter progressed.  Companies that carry higher levels of debt moved further out of favor, and concerns about the increased cost of funding large capital projects have…

Small Cap Select SRI – Q3 2023 Commentary

October 23rd, 2023
The Market In General: The third quarter was defined by rising interest rates. Although the US Federal Reserve increased the Fed Funds rate by just 0.25%, long-dated treasury yields climbed dramatically throughout the quarter. This movement went beyond a reflection of robust economic data, which could pressure inflation upward, and accounted for the expectations set…

Small Cap Select – Q3 2023 Commentary

October 23rd, 2023
The Market In General: The third quarter was defined by rising interest rates. Although the US Federal Reserve increased the Fed Funds rate by just 0.25%, long-dated treasury yields climbed dramatically throughout the quarter. This movement went beyond a reflection of robust economic data, which could pressure inflation upward, and accounted for the expectations set…

Small Cap Core – Q3 2023 Commentary

October 23rd, 2023
The Market  Investor mentality seemed to shift during the third quarter of 2023. After the strength of the first half, wariness settled back in and led to the retracing of some investor returns.  Federal Reserve Chair Powell has been diligent in leading the battle against inflation, and he and his compatriots did not blink during…

Mid Cap Value – Q3 2023 Commentary

October 23rd, 2023
All major U.S. equity market indices posted negative returns during the 3rd quarter of 2023.  The spread between large cap and small cap returns remains historically wide.  Year-to-date, the Russell 1000® Index (large) is up +13.0%, compared to the Russell 2000 (small) up +2.5%.  The Kennedy Mid Cap Value (MCV) composite declined -4.19% (net of fees)…

SMID Cap Value – Q3 2023 Commentary

October 23rd, 2023
Equity markets posted negative returns during the 3rd quarter of 2023.  For the quarter, the Russell 2500™ Value (R25V) Index declined 3.66%, the Russell 2500™ Growth (R25G) Index was down 6.84%, and the S&P 500® Index (S&P) fell 3.27%.  The spread between large cap and small cap returns remains historically wide.  Year to date, the…

Extended Small Cap – Q3 2023 Commentary

October 23rd, 2023
At the risk of sounding like a broken record, we saw many of the same themes from the first half of the year continue to exert their influence during the third quarter of 2023.  These included overall market concerns about inflation, the path of Fed policy remaining “higher for longer” and the ongoing debate between…

Small Cap Value – Q3 2023 Commentary

October 23rd, 2023
Equity markets posted negative returns during the 3rd quarter of 2023.  For the quarter, the Russell 2000® Value (R2V) Index declined 2.96%, the Russell 2000® Growth (R2G) Index was down 7.32%, and the S&P 500® Index (S&P) fell 3.27%.  The spread between large cap and small cap returns remains historically wide.  Year to date, the…