The Problem With Small Cap Stocks

Video Description

In this video I'm going to tell you why you should think carefully about owning small cap ETFs. You probably won’t be surprised if I tell you that small-cap stocks, in general, have outperformed large-cap stocks over the long-term, even on a risk-adjusted basis, with risk measured as standard deviation. This is well-documented around the world and over time. Small caps were the first market anomaly that challenged the capital asset pricing model and resulted in today’s multi-factor models for asset pricing. My name is Ben Felix, Associate Portfolio Manager at PWL Capital. Referenced in this video: Figuring Out Factor Investing - https://www.pwlcapital.com/figuring-out-factor-investing/ The Delisting Bias in CRSP Data - https://www.jstor.org/stable/2329566?seq=1/subjects Size Matters, If You Control Your Junk - https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2553889 You can find the Rational Reminder podcast on Google Podcasts: https://www.google.com/podcasts?feed=aHR0cHM6Ly9yYXRpb25hbHJlbWluZGVyLmxpYnN5bi5jb20vcnNz Apple Podcasts: https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582?mt=2 Spotify Podcasts: https://open.spotify.com/show/6RHWTH9iW7hdnA7eAg7ukO?si=hjZNfLKuSjSeWX38GPqhVA ------------------ PWL Capital Blog Post: https://www.pwlcapital.com/devilish-details-can-derail-your-small-cap-stock-funds/ Visit PWL Capital: https://goo.gl/uPcXg7 Follow PWL Capital on: - Twitter: https://twitter.com/PWLCapital - Facebook: https://www.facebook.com/PWLCapital - LinkedIn: https://www.linkedin.com/company-beta/105673/ Follow Ben Felix on - Twitter: https://twitter.com/benjaminwfelix - LinkedIn: https://www.linkedin.com/in/benjaminwfelix/ ------------------ #stockmarket #investing #pwlcapital