Am I missing Small Caps

[MartynC27]

Looking at the MSCI index I understand that small caps form 15% and mid caps form 15% of the total world investable Market. (large Caps form 70%)

My Global etf portfolio weights are :-

USA -------- VUSA-S&P500---------------33%
USA----------ISP6 (small cap)-------------4%

VUKE ------ UK---FTSE100---------------10%
VMID -------UK---FTSE250--------------- 2.5%

VERX------- Europe excluding UK------20%
VAPX------- Asia ex Japan----------------7%
VJPN------- Japan -------------------------8%
VEFM------- Emerging Markets-----------8%

VVAL--------World Value------------------7.5%

For Europe , Asia Pacific , Japan and Emerging Markets am I missing out on Small and Mid Caps in these regions or are these shares held in the Vanguard ETFs - VERX, VAPX, VJPN and VFEM

As small cap ETFs seem to be more expensive is it worth having small / mid cap etf to cover each region?

Would I be better off small cap investment trust (either all world or for each region) ?

[Hariseldon58]

The Vanguard All World ETF which is predominantly large cap and mid cap covers 90%+ of the world investable market cap.

"The index measures the market performance of large- and mid-capitalisation stocks of companies located around the world.
Includes approximately 2,900 holdings in nearly 47 countries, including both developed and emerging markets.
Covers more than 90% of the global investable market capitalisation."

The ETF's you mention are pretty much all in the the World ETF, so I'd say you have it pretty much covered. Plus VVAL picks 1000+ stocks from a set of 5000+ stocks.

I doubt if you added additional small caps to the whole it would make much difference the whole.

There comes a point where you establish a portfolio and then just let it run, the temptation is to feel you need to do something but in truth sitting on your hands is a good policy.

[MartynC27]

@Hariseldon - Thanks for the reply - I was concerned that I did not hold small caps (only USA) and Canada in my Regional etf portfolio but I suppose there is a limit how far you can go to cover the total investable market and whether it is worth the expense of small cap etfs and a Canada etf.

TimR

[JNC3]

As small cap ETFs seem to be more expensive is it worth having small / mid cap etf to cover each region?
Would I be better off small cap investment trust (either all world or for each region) ?

I have a similar Global ETF portfolio to you except that I use Investment Trusts for Small Caps and Emerging Markets. I believe Active Management has more to offer in these areas.

I hold Templeton Emerging Markets (TEM) instead of VFEM and hold F&C Global Smaller Companies instead of any small cap ETFs.
I would not use ETFs for these areas.