MicroCap Funds versus MicroCap ETFs

Ian Cassel Blog, Educational Leave a Comment

A few months back I wrote this article on The Best MicroCap Funds (closed end) and listed their performance against the Russell MicroCap and Russell 2000 indices.  A couple weeks ago on the radio program we discussed a topic we saw in a Barrons article which stated to be cautious of ETFs that invested in illiquid markets like MicroCaps.

I thought it would be interesting to see how four closed end MicroCap Funds compared to the four MicroCap ETFs when looking at five year performance. Just as we stated in the radio program we believe in actively managing a MicroCap portfolio, and I think the charts below prove this.

MicroCap Funds

GAMCO Westwood Mighty Mites Fund (WEIMX)

Royce MicroCap Fund (RYOTX)

Perrit MicroCap Opportunities Fund (PRCGX)

Managers MicroCap Fund (MMCFX)

Click To Enlarge

 MicroCap ETFs

First Trust Dow Jones Select MicroCap ETF (FDM)

Guggenheim Wilshire MicroCap ETF (WMCR)

iShares Russell MicroCap Index Fund (IWC)

Powershares Zacks MicroCap Portfolio Fund (PZI)

Click To Enlarge

The MicroCapClub (mc2) is an exclusive micro cap forum focused on micro cap companies (sub $300m market cap). The MicroCapClub was created and founded by Ian Cassel as a way to share ideas and to learn from other seasoned like-minded micro cap investors. Our goal at MicroCapClub.com is quality membership and quality stock ideas.  If you are an experienced micro cap investor, feel free to Apply today.

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