Thursday, July 05, 2007

Small Cap Investing: 70 Times Better Than the Next Microsoft

Is 78 years a relevant investment period? Sure. It's just slightly longer than an average American life span. So the difference between small-cap value and small-cap growth over a lifetime has been a multiple of more than 70 times the end result. That's right: 70 times.

There are literally thousands of companies in that small-cap value quadrant that you should be concentrating on, none of which can possibly be described as "the next Microsoft." They might not carry the wallop of a potential Microsoft over the short term, but over many decades, and taken as a group ... wow.

1 comment:

Idler said...

Drugmaker Growth Without the FDA
http://www.fool.com/investing/high-growth/2007/08/14/drug-maker-growth-without-the-fda.aspx