Small caps have been one of the hottest corners of the markets in the wake of President-elect Donald Trump's election victory four weeks ago. "Small caps right now are a trade, not a fundamental move," Krei added. Krei is also more optimistic on financials, another group that, like small caps, has outperformed following Trump's election. The Financial Select Sector SPDR Fund ETF (XLF) surged 10.5% in November, bringing its 2024 advance to 38% in 2024. The Energy Select Sector ETF (XLE) has risen 16.7% year to date, underperforming the broader market, but jumped 7.8% in November alone.

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Persons: Donald Trump's, Andrew Krei, Krei, Russell, Lauren Goodwin, Goodwin, We're, — CNBC's Michael Bloom Organizations: Trump, Crescent Grove Advisors, CNBC, New York Life Investments, SPDR Fund, Sector Locations: New York