When To Buy Small Cap Funds -

While large-cap stocks often lead the charge during the very first stages of an economic recovery, small-caps historically hit their stride during .

Because small-caps are highly volatile and can suffer double-digit losses during downturns (e.g., losing 36% in 2008), timing an entry isn't enough; you must also time your exit. What Is Small Cap Fund - Meaning, Returns and How to Invest when to buy small cap funds

Buying when small-caps are trading at a deep discount (on a price-to-earnings or price-to-book basis) compared to large-caps can offer a "margin of safety" for long-term gains. 4. The 7-Year Commitment While large-cap stocks often lead the charge during

: Historically, small-caps have outperformed large-caps in the months following a Federal Reserve interest rate cut . large-caps last about on average

Market cycles of outperformance for small-caps vs. large-caps last about on average.