“...  the morning steals upon the night, melting the darkness  ...”—Shakespeare, The Tempest

The Tempest makes use of mythology and magic to advance the plot and explore difficult topics. Here we look at popular small cap “myths” that hold sway over investors. The quote refers to the breaking of a spell, with the shipwrecked passengers recovering their judgement. We think investors will experience a similar awakening around storm-beaten small-cap stocks.

Important Risks: Investing involves risk, including the possible loss of principal. • Small-cap securities can have greater risks and volatility than large-cap securities.

The views expressed here are those of the authors. They should not be construed as investment advice. They are based on available information and are subject to change without notice. Portfolio positioning is at the discretion of the individual portfolio management teams; individual portfolio management teams, and different fund sub-advisers, may hold different views and may make different investment decisions for different clients or portfolios. This material and/or its contents are current as of the time of writing and may not be reproduced or distributed in whole or in part, for any purpose, without the express written consent of Wellington Management or Hartford Funds.