Should You Invest In Small and Mid Cap Stocks? Is Now the Time?

Small and mid-cap stocks have underperformed large-cap stocks for over a decade. Is now the time to increase your allocation?Topics covered include:How big are small and mid-cap stocksHow have small and mid-cap stocks performed relative to large-cap stocksHow have active small and mid-cap managers performed relative to indexing optionsAre bigger IPOs contributing to small and mid-cap stocks underperformanceHow expensive or cheap are small-cap stocks relative to large-capWhat is the capital asset pricing model and how do academics use it to identify outperforming factorsHow value, momentum, and quality drive small-cap stock outperformanceHow to invest in small and mid-cap stocksThanks to Policygenius for sponsoring the episode.For more information on this episode click here.Show NotesThe Morningstar Active/Passive BarometerInitial Public Offerings: Updated Statistics January 5, 2022, by Jay R. Ritter—Warrington College of Business, University of FloridaThe Nexus of Anomalies-Stock Returns-Asset Pricing Models: The International Evidence by Rahul Roy and Shijin SanthakumarThe Cross-Section of Stock Returns before 1926 (And Beyond) by Guido Baltussen, Bart van Vliet, and Pim van VlietFactor Timing: Keep It Simple by Michael Aked—Research AffiliatesSee Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

What this episode covers

Small and mid-cap stocks have underperformed large-cap stocks for over a decade. Is now the time to increase your allocation?Topics covered include:How big are small and mid-cap stocksHow have small and mid-cap stocks performed relative to large-cap stocksHow have active small and mid-cap managers performed relative to indexing optionsAre bigger IPOs contributing to small and mid-cap stocks underperformanceHow expensive or cheap are small-cap stocks relative to large-capWhat is the capital asset pricing model and how do academics use it to identify outperforming factorsHow value, momentum, and quality drive small-cap stock outperformanceHow to invest in small and mid-cap stocksThanks to Policygenius for sponsoring the episode.For more information on this episode click here.Show NotesThe Morningstar Active/Passive BarometerInitial Public Offerings: Updated Statistics January 5, 2022, by Jay R. Ritter—Warrington College of Business, University of FloridaThe Nexus of Anomalies-Stock Returns-Asset Pricing Models: The International Evidence by Rahul Roy and Shijin SanthakumarThe Cross-Section of Stock Returns before 1926 (And Beyond) by Guido Baltussen, Bart van Vliet, and Pim van VlietFactor Timing: Keep It Simple by Michael Aked—Research Affiliates See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.