Small-cap and midcap ETFs charge higher as investors continue to rotate

Exchange-traded funds with exposure to smaller companies outperformed Tuesday, extending a winning streak that suggests investors may be ready to look beyond the behemoths that have dominated markets in 2020. The iShares Russell 2000 ETF and the Schwab U.S. Small-Cap ETF were both 1% higher in the early afternoon, while the SPDR Portfolio S&P 600 Small Cap ETF gained 0.7%. The broad stock-market index was up 0.3%. The gains weren't just in small caps, however. Schwab's U.S. Mid-Cap ETF was up 0.5%, and the iShares Core S&P Mid-Cap ETF was 0.4% higher. Over the past month, the midcap funds mentioned here are up about 11-12%, while the small-caps have gained 16-17%. The S&P 500 is up 5.5% in that time.

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