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
When large-caps have dominated for a long period—as they have for over a decade—the can widen significantly. when to buy small cap funds
: Historically, small-caps have outperformed large-caps in the months following a Federal Reserve interest rate cut . Buying when small-caps are trading at a deep