The size premium is the historical tendency for the stocks of firms with smaller
market capitalization
Market capitalization, sometimes referred to as market cap, is the total value of a publicly traded company's outstanding common shares owned by stockholders.
Market capitalization is equal to the market price per common share multiplied by t ...
s to outperform the stocks of firms with larger
market capitalization
Market capitalization, sometimes referred to as market cap, is the total value of a publicly traded company's outstanding common shares owned by stockholders.
Market capitalization is equal to the market price per common share multiplied by t ...
s. It is one of the factors in the
Fama–French three-factor model
In asset pricing and portfolio management the Fama–French three-factor model is a statistical model designed in 1992 by Eugene Fama and Kenneth French to describe stock returns. Fama and French were colleagues at the University of Chicago Booth ...
.
Here Come Small Caps Going back to 1979, December... , The Irrelevant Investor
See also
* Style investing
References
External links
*
Stock market
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