Large Cap, Mid Cap or Small Cap? How to Know What's Right for You
Large Cap, Mid Cap or Small Cap? How to Know What's Right for You A client once sat across my desk with three fund fact sheets spread out in front of him. One advisor had told him large cap was "safer." A YouTube video had convinced him mid cap gives "better growth." A relative swore that small cap was where "real wealth" gets made. He looked at me and asked the question I hear more often than almost any other: "So which one should I actually buy?" If you're reading this article, there's a good chance you've asked yourself some version of the same question. Should you invest in all three categories? How much should go into each? And more importantly — are you taking on more risk than you realise just because a category has a good story attached to it? Here's the honest answer before we go any further: the right question was never "which category gives the highest return." The better question is "which category...