juststock/iStock via Getty Images Small Caps Are (Finally!) on Top. High returns, lower rates, and a resilient U.S. economy were the right combination for investors in 3Q25, which saw the major U.S. indexes reach fresh peaks. The highest returns went to the smallest stocks—the Russell 2000 Index advanced 12.4% versus a 8.0% gain for the Russell 1000 Index, a decisive, and long-awaited, advantage for small-cap stocks. Micro-caps were even stronger than their small-cap siblings—the Russell Microcap Index ...