Rallies caused by investors covering short sales, or bets that prices will fall, more typically begin in small-capitalization stocks, he said.
Champions of small-capitalization stocks have been complaining about this focus for some time.
Growth is also beating value among small-capitalization stocks since the end of the first quarter, 13.0 percent versus 10.8 percent.
They also manage about $80 million in small-capitalization stocks, mostly for institutions.
Both sectors have underperformed this year, especially small-capitalization stocks.
For about six weeks now, small-capitalization stocks have been surging.
Q. Are small-capitalization stocks likely to keep moving up?
Steel shares, especially small-capitalization stocks, also helped the rally.
Left out of the rally, however, have been small-capitalization stocks.
Tetra Tech is a small-capitalization stock, and it last traded at $19, down from a high of $23 earlier this year.
