Small Caps vs. Large Caps

Quote from Business Week Blog:

Small caps have outperformed in each of the past six years, which is longer than the average small cap rally. But small caps underperformed by historically large margins in the prior Internet bubble market.

Valuations on small caps have risen but not to insane levels. In fact, small cap growth companies haven't gotten too much pricier as the markets have favored value stocks for a while now. Plus, when almost every market strategist on Wall Street is saying this is the year for large caps (just like they did a year ago and the year before that), the contrarian in me is aroused.