Funds focused on smaller caps were one of the unsung stars of 2003. Chilton Small Cap International saw substantial gains in 2003, ending the year up 21.6%. Much of that gain was attributable to a fourth-quarter gain of 8.4% with December contributing a modest 0.3%.
Chilton wasn't the only fund group to ride the small-cap wave. Another big gainer was Stephens Investment Management's NanoCap Fund, which gained 4.83% in December alone. NanoCap, which puts two-thirds of its money with enterprise names with caps of less than $250 million, ended its debut year with a return of 79.61% The