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.
July 2017 was a banner month for the SCP SMB Index which gained 4.6% versus the other benchmark indices we track. The SCP SMB Index also outperformed all other indices on a total returns basis, now up 33.2% since Jan 4, 2016.
The SCP SMB Index climbed 4.6% in July, after declining 2.8% in June. The S&P 500, Nasdaq and Dow Jones all experienced gains in July — up 2.2%, 3.7% and 2.6% 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 July 31, 2017:
- SCP SMB Index — 133.22%
- S&P 500–122.83%
- Nasdaq — 130.01%
- Dow Jones — 127.30%
During July the SCP SMB Index climbed to $116.51, up from $111.44 at the end of June 2017.
In comparison, during the month of July, other benchmark indices made the following moves:
- the S&P 500 was up 2.2% during the month of July
- the Nasdaq climbed 3.7% from the end of June
- the Dow Jones increased 2.6% since the end of June
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 ~59% of the total market cap of all 35 companies and therefore the movement of these 5 companies influence the SMB Index as a whole.
In July, Shopify dethroned Sage Group and cracked the top 5 Constituents list for the first time. All 5 constituents experienced gains in July led by ADP up 17.2%.
Here are the top 5 gainers and losers for July:
ShoreTel led the gainers, up 28.4% in the month of July, while Web.com led the list of losers down 13.2% during July.
21 out of the 35 companies in the SCP SMB Index experienced gains in the month of July.
SurePath Capital Partners helps startups raise the capital needed to become market leaders. When the time is right, the company help its clients achieve profitable, deliberate exit strategies. SurePath only works with startups in SaaS and commerce. Across those segments it has a deep focus on companies serving the global SMB market. Say hello: email@example.com