As someone who has spent nearly two decades in the world of small caps, overseas and in South Africa, I know that many investors have come to believe that small caps are dead. This time, they say, it is indeed different, and there is no cycle. That investors are witnessing a structural decline in small-cap investing and small-cap returns globally.

However, we must remember Mark Twain’s remark: “Reports of my death have been greatly exaggerated.” The same can be said about small caps...

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