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Reporter Rita Raagas De Ramos of AsianInvestor.net interviews managing director Whitney George in her November 4, 2008 article, "US Small Caps May Surprise Investors in the Long Run."
De Ramos discusses how Royce & Associates believes that "uncovering opportunity in poor market conditions is one of the most effective ways to build strong absolute long-term performance." She quotes Whitney George: "We understand that no investor enjoys these periods in which so many companies seem to be struggling and returns are falling further into negative territory. At the same time, declines, corrections and even the occasional bear market are part of the price of doing business in the stock market, especially if one is in it for the long haul."
DeRamos writes that George's optimism is based in part on the speed with which information travels, with George explaining in more detail, "Because bad news travels so quickly, the effects hit stocks hard and fast. We believe that the market has thus worked through the bulk of the distress caused by subprime woes, the credit crunch and the prospect of recession. While we are always focused on downside risk, we are just as excited about the promising long-term opportunities that we see in certain smaller stocks in the current market."
This material is not authorized for distribution unless preceded or accompanied by a current prospectus. Please read the prospectus carefully before investing or sending money. W. Whitney George is a Managing Director and a Portfolio Manage of Royce & Associates, LLC, investment adviser for The Royce Funds. Mr. George's thoughts in this message are solely his own and, of course, there can be no assurance with regard to future market movements.
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