Not exact matches
Compared to stocks or bonds, trading activity and
market capitalization among cryptocurrencies are very concentrated within a
small group of players.
The reason being, Large Cap Funds are invested in companies that have a very high
market capitalization as
compared to Mid Cap and
Small Cap Funds.
Because of the equal weight component, the portfolio has a larger proportion of
smaller companies
compared to a purely
market capitalization weighted portfolio.
By limiting our universe to stocks with a
market capitalization greater than $ 1.4 billion (as at December 31, 2011) the returns to our strategy will be reduced
compared to the returns to other strategies that include
smaller stocks.
The overalll
market capitalization of preferred stock is very
small as
compared with other core asset classes.
Smaller companies may have limited product lines,
markets, financial resources or their management teams may have less depth and expertise
compared with large -
capitalization companies.