http://www.smartmoney.com/investing/mutual-funds/Only-Two-Microcap-Funds-Make-Our-Cut-22915/

"Microcaps also tend to lie in obscurity since they don't have Wall Street analysts following their every move. That means a savvy manager who does his homework can easily find cheap, well-run companies the rest of the market has overlooked. And just because these are small firms doesn't mean they can't have decent balance sheets and top-notch management teams. Indeed, one of the intriguing aspects of microcap investing is that the best of the bunch will be swallowed up by large competitors. When surprises like that happen to thinly covered stocks the price will pop instantly, leading to big rewards for those who got in early."