Ben Griffiths: Small caps that can become big caps
Ben Griffiths has been successfully navigating the small cap universe for nearly two decades. Having experienced numerous cycles he says the small caps index is currently experiencing a rare phenomenon that can result in increased momentum for small companies. Griffiths says the discount at which the small ords usually trades to the ASX100 has disappeared, this has traditionally been a catalyst for renewed buying interest from fund managers. "In fact interest gets really hot in small companies when the small caps start trading at a premium to big caps. We're in a situation now which we are rarely in where they are actually at parity." Griffiths say based on this theory the set up for small caps remains bullish. In this short video Griffiths expands on this phenomenon and talks about a few small caps that could become big caps.