August 2017 — Movements in the SMB Index

A recap of SMB Index performance for August 2017

The SurePath SMB Index
After coming off a banner month in July where the SCP SMB Index gained 4.6%, August 2017 was a flat month where the Index gave back 0.4%, consistent with other major indices we track.
Summary of the SCP SMB performance vs other benchmark indices

The SCP SMB Index fell 0.4% in August. The S&P 500, Nasdaq and Dow Jones were also flat in August — down 0.6%, 0.1% and up 0.3% 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 — 132.89%
  • S&P 500–122.11%
  • Nasdaq — 129.88%
  • Dow Jones — 127.66%

Monthly gains

During August the SCP SMB Index fell slightly from $115.61, down to $115.21 at the end of the month.

In comparison, during the month of August, other benchmark indices made the following moves:

  • the S&P 500 was down 0.6% during the month of August
  • the Nasdaq was flat falling 0.1% from the end of July
  • the Dow Jones increased 0.3% since the end of July

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.

After entering the top 5 constituents in July, Shopify outpaced all other top 5 players up 20.1% in August. ADP fell 10.5% after climbing 17.2% in July.

Here are the top 5 gainers and losers for August

Yelp led the gainers, up 31% in the month of August, while Shutterstock led the list of losers down 20.3% during August.

Here’s how all 35 companies stacked up in the month of August

22 out of the 35 companies in the SCP SMB Index experienced gains in the month of August.

You can follow the SurePath SMB Index in real time at: http://www.surepathcapital.com/smb-index

At SurePath Capital Partners we help startups raise the capital needed to become market leaders. When the time is right, we help our clients achieve profitable, deliberate exit strategies. We only work with startups in SaaS, and commerce. Across those segments we have a deep focus on companies serving the global SMB market. Say hello: info@surepathcapital.com