I agree that SCV has higher volatility. That means to me that SCV is not a "buy-once-and-forget-about-it" thng. Instead one should buy SCV when it has fallen more that a total stock market (TSM) fund and sell it when it has risen more than a TSM fund.I think the explanation would be that small cap value has higher volatility, and to capture the premium you need to have a long time frame,....
Of course, one can predict neither the "relative" low nor high points of SCV compared to TSM. That has consequences.
Statistics: Posted by livesoft — Sun Dec 01, 2024 8:50 am — Replies 13 — Views 422