While big names in the ASX20 are treading water (even if some are at record highs), one overlooked slice of the market is quietly pushing to new highs: meet the EX20.

In Monday’s episode of Switzer Investing TV, Michael Gable of Fairmont Equities pointed to the breakout performance of the EX20 — the collection of ASX-listed companies ranked from 21 to 200 by market cap — and suggested investors are already catching on.

“The chart looks very similar to the ASX200… but it’s actually broken to new highs,” Gable said. “Whereas the overall market — the ASX200 — is still sitting slightly under those highs.”

Check the chart above. As you can see, the EX20 has been pushing beyond the ASX200 index for the last 30 days.

That tells a story in itself.

Broader market performance is still recovering from its most recent trade war beating back in April. During that time, we’ve seen many institutional and retail investors pile into “safer” stocks in banking and resources. But the EX20 shows a slightly different story: the Aussie market’s appetite for risk might not be as battered as we thought, as investors look beyond the big 20.

“It shows that all those stocks under the surface — they’re getting bought up. Not necessarily just the top 20 stocks,” Gable added.

The EX20’s strong momentum contrasts with the lacklustre performance of some of the ASX’s largest household names. While CBA and JB Hi-Fi have shown resilience, others in the ASX20, including major banks and miners like BHP, are under pressure from weak dividends, global trade headwinds, and commodity volatility.

The appeal of the EX20, Gable says, lies in its diversity and in the market’s renewed appetite for companies with room to grow.

“You need to find the opportunities under the surface,” he said. “Whether you’re buying this [the EX20] or looking for those opportunities outside the top 20, that’s where the action is.”

With lower volatility, strong breadth, and consistent buying activity, the EX20 is behaving more like a bull market’s best-kept secret.

And if the broader market keeps climbing, these mid-tier players could keep outpacing the majors — quietly delivering outsized gains for those paying attention.