Small cap investment

Small cap investment refers to the act of investing in companies with a relatively small market capitalization, typically ranging from a few million to a few billion dollars. These companies, often referred to as "small caps," are generally younger and less established than their larger counterparts, presenting both opportunities and risks for investors. On the one hand, small cap stocks have the potential for significant growth, as these companies may be in the early stages of their business life cycle and operate in emerging industries or niche markets.

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