The year 2023 was a great one for large cap growth stocks, which outperformed the rest of the market by a wide margin. However, the opposite was true for most small to mid-cap innovation companies, which struggled to raise capital amid a tight monetary and risk-averse environment.

But things could change in 2024. The Federal Reserve is expected to lower interest rates this year, which may create a compelling buying opportunity for investors who are willing to take on more risk and invest in early stage innovation companies.

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Source Fool.com