Unlocking Global Opportunities: A Deep Dive into Small Cap Performance
Quarterly Market Dynamics: Factors Driving International Small Cap Growth
During the third quarter of 2025, the MSCI EAFE Small Cap Index registered a significant return of 6.31%. This impressive gain was primarily fueled by robust corporate earnings, a prevailing sense of optimism surrounding potential interest rate reductions, and a weakening US dollar, which provided an additional boost to the returns of international investments.
Fund Performance Excellence: Outperforming the Benchmark in Q3 2025
The Goldman Sachs International Small Cap Insights Fund demonstrated exceptional strength in Q3 2025, achieving an 8.03% return. This performance notably exceeded its benchmark, the MSCI EAFE Small Cap Index, by a substantial 183 basis points on a net basis for I-share holders. The fund consistently delivered positive excess returns each month, with September standing out as the period of strongest performance.