VXF: US SMID Caps Remain A Compelling Buy, Improved Chart

  • I reiterate my buy rating on VXF, citing compelling valuation and emerging technical strength in US SMID caps outside the S&P 500. Despite skepticism about aggressive EPS growth forecasts, VXF offers attractive exposure to small and mid-cap stocks with a low expense ratio and strong liquidity. VXF's balanced sector allocation, especially its tilt toward Information Technology, positions it well if the market rally broadens beyond mega-caps.