Small-cap funds led the charge of all types of equity funds in the fourth quarter, posting 14.2% gains, Investor's Business Daily reports. Diversified equity funds averaged 10.67% during the quarter to end a largely uncertain year on a high note.
Growth stocks edged out value stocks, which rose 9% during the same period, beating the Dow Jones Industrial Average, which gained 3.4% last month and 7% throughout the past quarter.
The Nasdaq jumped 14.7% in the final quarter, while the S&P 600, a small-cap index, rose 12.8% during the same period.
The average domestic diversified stock fund rose 12% last year and small-cap value funds gained 20.9% during the same period, according to Lipper.