Planet MicroCap Podcast | MicroCap Investing Strategies

Episode 23 - MicroCaps Value Uncovered: White Paper with Donald Porter, DGHM & Co.


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For this episode of the Planet
MicroCap Podcast, I spoke with Donald Porter, Senior Vice President at DGHM
& Co. I met Donald a couple months ago, and we were talking about how his
firm was working on a white paper talking about MicroCap stocks. I followed up
with him and he sent it over. The white paper is titled, “MicroCaps Value
Uncovered,” and I thought, rather than dissecting the paper myself, why not
invite Donald onto the podcast to explain the firm’s thesis.
And furthermore, as the first line of the thesis
states, “The world of microcap stocks is an exciting, vast and rich place to
allocate capital.” That got my attention and I wanted to hear more, so here we
go.
The goal for this episode is to
learn about the opportunities when investing in MicroCap Stocks, according to
DGHM & Co., what makes MicroCap stocks interesting today relative to other
asset classes, and an understanding of MicroCap stocks as compared to large
caps.
The Planet MicroCap Podcast is brought to you by SNN Incorporated, publishers of StockNewsNow.com, The Official MicroCap News Source, and the MicroCap Review Magazine, the leading magazine in the MicroCap market - check out the latest issue here: MicroCap Review Winter/Spring 2016
In this episode, Donald and I discuss the following topics: 
- Mr. Porter's background, and you
were introduced to investing in MicroCap stocks.
- Motivation for why DGHM, recently put out a white paper,
titled, “MicroCaps: Value Uncovered”
- According to the paper, why MicroCaps beat large caps over the long term
- The difference between value Microcap
stocks vs. growth microcap stocks and why this is important to understand
- In the paper, it states, “passive investment in
microcaps has not been successful," he explains what this means
- Why the liquidity risk premium is a driving
factor for microcap performance
- What are some other characteristics that make
MicroCap investing attractive
- What are the parallels with Microcap vs. Private Equity and what is the
fundamental difference when owning a microcap vs. shares in a private company
in one’s portfolio
- What makes MicroCap stocks interesting today
relative to other asset classes
-  In
summary, the key points Donald would like our audience to take away from
reading the white paper
For more information about DGHM & Co., please visit: www.DGHM.com
You can follow the Planet MicroCap Podcast on Twitter @BobbyKKraft, and you can also listen to this interview on StockNewsNow.com
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