** Small-Cap Outlook 2026** Following a challenging 2025 that reset market expectations, the outlook for small-cap equities in 2026 appears increasingly constructive. Investors are advised to adopt a selective strategy, prioritizing individual stocks characterized by strong fundamentals. **Key Strategic Drivers:** * **Fundamental Focus:** Performance will be driven by bottom-up stock selection rather than broad sector trends. * **Quality Metrics:** Leadership in the segment will likely emerge from companies exhibiting robust balance-sheet discipline and quality-led growth. * **Long-Term Opportunity:** Current valuations offer attractive entry points for investors with a long-term horizon who utilize a disciplined, selective approach.