The Russell 2000 index's year-to-date return of 20.7% has surpassed the S&P 500's 12.8% gain, benefiting from profit-taking in larger growth stocks. RBC Capital Markets' Lori Calvasina noted that small caps may be seen as an attractive entry point for AI exposure due to lower valuations, with the iShares Russell 2000 ETF (IWM) having a price-to-earnings multiple of 18x compared to the SPDR S&P 500 ETF's (SPY) 27x.