For a broader look at the moves of institutional investors, there are two charts to look at on IBD's Mutual Funds section. One is Small-Cap Growth Funds Vs. Big-Cap Growth Funds. When the line on this chart is moving up, it tells you small-cap stocks are outperforming big-cap stocks. This indicates there are probably more investment opportunities in small-cap stocks. Definitions of small-cap, mid-cap and large-cap stocks are somewhat arbitrary. But most institutions define small-cap stocks as having $1 billion or less in market capitalization, mid-cap as $1 billion to $5 billion in market cap, and large-cap as anything over $5 billion.

(For Sample Purposes Only)

The second chart, Growth Funds Vs. Value Funds, compares these two major groups of funds. (Growth funds specialize in growth stocks: those showing rapid increases in sales and earnings. Value funds specialize in stocks deemed to be undervalued.) A line moving upward tells you growth funds, and consequently growth stocks, are outperforming value funds.

(For Sample Purposes Only)

Related Resources:

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