small-capitalization (small cap) stocks
- small-capitalization (small cap) stocks
The stocks of companies whose market value is less than $1 billion. Small-cap companies tend to grow faster than large-cap companies and typically use any profits for expansion rather to pay dividends. They also are more volatile than large-cap companies, and have a higher failure rate. Bloomberg Financial Dictionary
Financial and business terms.
2012.
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Small Cap — Refers to stocks with a relatively small market capitalization. The definition of small cap can vary among brokerages, but generally it is a company with a market capitalization of between $300 million and $2 billion. One of the biggest… … Investment dictionary
small-capitalization (small-cap) fund — A mutual fund that invests primarily in stocks of companies whose market value is less than $1 billion. Small cap stocks historically have been more volatile than large cap stocks, and often perform differently from the overall market. Bloomberg… … Financial and business terms
small-cap — adjective of stocks of companies with a market capitalization of less than one billion dollars • Syn: ↑small capitalization, ↑small capitalisation • Pertains to noun: ↑market capitalization, ↑market capitalisation (for: ↑sm … Useful english dictionary
Dow Jones Wilshire Small-Cap Index — A market capitalization weighted index maintained by Dow Jones Indexes that is the small cap subset of the Dow Jones Wilshire 5000 Composite Index. The Dow Jones Wilshire Small Cap Index contains the companies ranked 751 to 2,500 as measured by… … Investment dictionary
Russell Small Cap Completeness Index — A capitalization weighted index composed of all of the Russell 3000 stocks that are not represented in the Standard Poor s 500 Index. The index is designed to allow investors to access the broad market for small and mid cap stocks without… … Investment dictionary
Small Firm Effect — A theory that holds that smaller firms, or those companies with a small market capitalization, outperform larger companies. This market anomaly is a factor used to explain superior returns in the Three Factor Model, created by Gene Fama and… … Investment dictionary
Small-Value Stock — A description of stock where the underlying company has a small market capitalization, and whose stock price is currently trading at or lower than its book value. Finding a stock that fits both of these criteria is difficult, but it could be a… … Investment dictionary
Small Minus Big - SMB — One of three factors in the Fama and French stock pricing model. SMB accounts for the spread in returns between small and large sized firms, which is based on the company s market capitalization. This factor is referred to as the small firm… … Investment dictionary
small-capitalization fund — A mutual fund that invests primarily in stocks of companies whose market value is less than $1 billion. Small cap stocks historically have been more volatile than large cap stocks, and often perform differently from the overall market. Bloomberg… … Financial and business terms
cap — cap1 noun 1》 a soft, flat hat without a brim and usually with a peak. ↘a soft, close fitting head covering worn for a particular purpose: a shower cap. ↘an academic mortar board. 2》 a protective lid or cover for a bottle, pen, etc.… … English new terms dictionary