We all know by now markets can be driven by fear or by greed, and its easy to lose sight of the fundamentals when either emotion is in play. Lets not forget as long as we remain in a low interest rate environment and governments around the world continue to provide liquidity to the systems, this should continue to bode well for the markets. This especially rings true in the small cap space where small caps and micro-caps can benefit by low interest rate money and the speculative deployment of capital. Prudent investors see that small and micro-cap companies have much more upside potential than its larger cap brethren which have already realized enormous gains over the past year and change. Thats not to say that large caps wont continue to perform well, but select small caps over time, can significantly outperform its counterpart by leaps and bounds.

For now it may be a good idea to let the current fear subside a bit before putting more money to work, or for the more aggressive investor, this may be the perfect opportunity to step in a bit and take advantage of the current fear in the marketplace.

As always, best of luck to all and happy investing.

~George