Small Cap vs Large Cap Funds

Small cap funds invest in stock of smaller companies. These firms have higher growth potential; with that higher growth potential comes higher risk due to volatility and liquidity challenges.

On the other hand, large cap funds invest in established, large companies with a higher market capitalization. These larger companies can offer stability, lower risk, and often pay dividends. While the larger companies can feel safer for a cautious investor, keep in mind the price of investing with that large company.

Generally, a good mix of both is a smart idea for most investors. To determine the proper amounts, it's best to work with an Advisor who is familiar with your specific situation and risk appetite to make an informed recommendation for you.