When searching for opportunities to reap big returns amid a market slump, it pays to think small.

That's what fund-tracking firm Lipper had to say about comparing the performance of large-cap mutual funds to small-cap mutual funds. In the last four-plus years, from January 2000 through the first quarter of 2004, small-cap stocks have substantially outperformed large-cap stocks, according to a recent research report Lipper released last week.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.