Nano Cap
Definition of 'Nano Cap'Small public companies with a market capitalization below $50 million. Investors looking to invest in nano-cap companies should be aware that these small firms are often associated with a very high risk of failure. Conversely, nano-cap stocks are often referred to as "penny stocks," which are quite popular with novice investors who have a large appetite for risk. |
|
Investopedia explains 'Nano Cap'This is as small as you can get. Nano caps are very risky because they are such small companies. Keep in mind that classifications such as "large cap" or "small cap" are only approximations that change over time. Also, the exact definition of the various sizes of market cap can vary between brokerage houses. |
Related Definitions
Articles Of Interest
-
Understanding Small- And Big-Cap Stocks
If you don't realize how big small-cap stocks can be, you'll miss some good investment opportunities. -
Finding Undiscovered Stocks
Wall Street tends to focus on large cap stocks, leaving other stocks under-followed and undervalued. -
Market Capitalization Defined
Find out the differences between mega-, large-, mid- and small-cap stocks and how each suits different investing styles. -
An Introduction To Small Cap Stocks
When it comes to a company's size, bigger isn't always better for investors. Find out more here. -
Parched For Profits? Try Beverage Stocks
For diversification and profit potential, add a different kind of "liquidity" to your portfolio. -
Is there such a thing as a nano cap or micro cap index?
While there are indexes that track micro cap stocks, there are few indexes tracking nano caps. Although definitions vary, a nano cap stock generally has a market capitalization of less than $5 ... -
How Interest Rates Affect The Housing Market
Understand how rate changes can affect home prices, and learn how you can keep up. -
Break Into Forex In 12 Steps
Learn how to get started in forex trading. -
How Now, Dow? What Moves The DJIA?
Find out how this index tracks market movements and where it falls short. -
Choose A Fund With A Winning Manager
We break down the key components of analyzing a fund manager's performance so you can find a winner.
Free Annual Reports