This monthly feature from SurePath Capital Partners looks at the relative optimism about a range of public companies working with SMB clients. Follow the SurePath SMB Index in real time by clicking here.
Let’s begin with a recap. The SCP SMB Index closed 2017 gaining a modest 1.2%, outpaced by other major indices we track.
The SCP SMB Index then started off 2018 with a modest gain of 2%, again outpaced by other major indices.
The S&P 500, Nasdaq and Dow Jones all experienced gains during the month of 5%, 6.5%, and 5%, respectively.
Returns since inception (indexed at Jan 4, 2016)
Since the inception of the SCP SMB Index in January 4, 2016 (where 100% is no change), here are the returns till January 31, 2018:
- SCP SMB Index — 153.92%
- S&P 500–140.23%
- Nasdaq — 150.98%
- Dow Jones — 152.06%
During January the SCP SMB Index climbed from $134.59, up to $137.34 at the end of the month.
In comparison, during the month of January, other benchmark indices made the following moves:
- the S&P 500 was up 5% during the month of January
- the Nasdaq increased 6.5% from the end of December
- the Dow Jones climbed 5% since the end of December
Drivers of movement
The SCP SMB Index is weighted based on the market capitalization of the 35 companies that are included in the index. The market cap of the top 5 companies (by market cap) accounts for ~57% of the total market cap of all 35 companies and therefore the movement of these 5 companies influences the SMB Index as a whole.
Square headlined this list, climbing 35.3% in January, while Paychex declined 0.1% as the lone loser in the Top 5 Constituents. Here are the top 5 gainers and losers for January:
Square led the gainers, up 35.3% in the month of January after dropping 11.6% in the previous month. LendingClub led the list of losers, down 11.4% during the month.
Here’s how all 35 companies stacked up in the month of January.
28 out of the 35 companies in the SCP SMB Index experienced gains in the month of January: