Back to the glossary

    factor

    Size Factor

    A style tilt that favors smaller companies, which over long horizons have averaged higher returns than larger ones.

    Also known as SMB (small minus big) in the Fama-French three factor model. The premium has been weaker in recent decades.

    Related terms

    Get full access to GNG Research

    Create a free account to access portfolio tracking, advanced tools, and more.