Barclays' Barry Knapp finds small-cap valuations “rich on both an absolute and relative basis,”...

|By:, SA News Editor

Barclays' Barry Knapp finds small-cap valuations “rich on both an absolute and relative basis,” and calls for an “outright short” on the category once the Fed slams the brakes on monetary easing. But small-caps have defied months of predictions that their run wasn’t sustainable; last year, the Russell 2000 gained 25%, while the Dow added just 11%.