Stock price when the opinion was issued
RSP is not overly exposed to just tech and communications. IWM at market weight has performed much better than RSP. But we're hopefully going to see some rotation. RSP is a great idea, and there are similar tickers that trade on the Canadian side.
IWM has the smallest 2000 companies out of the Russell 3000, underperforming. Small cap should perform better with steady or falling interest rates, as they tend to be more levered.
His portfolio style favours the mid- and large-cap names, but small caps can do well in a lower-rate environment.
The 3 are on different notches on the dial of risk and growth. Allocate your money according to your risk appetite.
ZUE is solid and probably the safest, even though it has enormous exposure to mega-cap tech companies. There are ETFs to downscale your risk from that, such as RSP (equal weight) and EQL.
ZQQ has been excellent for achieving currency-hedged exposure to the NASDAQ 100. So it's even more tech and growth. Huge demand in 2023 and 2024, but (as we've seen) very exposed to downside volatility in the trade war environment.
SOXX is purely semiconductors. Enormous ups and downs on headline risk with generative AI. Even riskier.
She likes smallcaps. If the market rotates from the mega stocks, small caps could benefit.