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The Tech Unwind

The Compound and Friends

CHAPTER

Navigating Small-Cap Stocks and Fed Dynamics

This chapter explores the performance of the Russell 2000 index in relation to interest rates, emphasizing the challenges faced by small-cap stocks. The discussion highlights the implications of operational declines, IPO activity, and the distinction between value and growth stocks, advocating for a cap-agnostic approach to investment. Additionally, the chapter addresses the broader economic outlook, analyzing the risks surrounding Federal Reserve decisions and their potential impacts on the market.

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