The fourth quarter is a good time to rebalance portfolios while implementing strategy for 2011. When doing so, remember to consider the potential benefits of maintaining exposure to the small cap sector. Investing in smaller companies may provide growth opportunities not available elsewhere. These companies often operate lean and aggressively pursue their desired market share. To learn what portion of your portfolio may be appropriately allocated to this sector, please contact me.
The prices of small cap stocks are generally more volatile than large cap stocks.