Large cap


 

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Large cap

One of a trio of terms in common use, the others being 'small cap' and 'mid cap'. Everyone agrees that the terms refer to market capitalisation, but no-one can agree what the thresholds are. What is certain is that large caps refer to the very largest companies with the highest market capitalisations. So companies in the FTSE 100 would certainly be large caps and those in the FTSE MID 250 would be large caps or mid caps.There are no hard and fast rules about where the cut-offs are and different investors use the 'cap' terms in different ways.

Large cap

A stock with a high level of capitalization, usually at least $5 billion market value.



Large cap

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