Planet MicroCap Podcast | MicroCap Investing Strategies

In this episode of the Planet MicroCap Podcast, we dive into the Diamond Hill Micro Cap Strategy with Aaron Monroe, Tyler Ventura, and John Loesch to break down how they’re finding alpha in one of the most underfollowed parts of the market. With a concentrated, long-term approach and a “three heads are better than one” framework, they focus on simple, durable businesses with strong balance sheets and aligned management.

We dig into why illiquidity and lack of coverage are features—not bugs—in microcaps, how they build positions through their “graduation model,” and why “boring but beautiful” companies can quietly compound capital over time. We mention several companies and sectors during this conversation, and I’m not a shareholder in any of them.

For more information about Diamond Hill MicroCap Strategy, please visit: https://www.diamond-hill.com/investment-strategies/us-equity/micro-cap/separate-account/

Chapters: 

00:00 Introduction to the Diamond Hill Microcap Team
02:31 Investor Origin Stories
07:59 Investment Philosophy in Micro Cap
12:01 Exploiting Market Inefficiencies
16:23 Identifying Misunderstood Micro Caps
22:35 Ideal Investment Setup
27:04 Managing Group Think in Investment Decisions
28:28 Understanding Conviction in Investment Strategies
31:08 Evaluating Management in Micro Cap Companies
34:03 Identifying Change Agents in Management
38:12 Structural Market Insights and Opportunities
42:27 Behavioral Changes in Investing
46:51 Position Sizing and Risk Management
51:47 Lessons Learned from Micro Cap Investing
57:11 Building a Sustainable Edge in Micro Cap Investing

Planet Microcap hosts the highest quality in-person microcap events in North America. The mission is to bring the best microcap investors, companies, and allocators together to gather, connect, and grow.; visit https://planetmicrocap.com/ to learn more about our Las Vegas and Toronto events.

This presentation is for informational purposes only and should not be construed as a recommendation to purchase or sell any security referenced herein. Planet MicroCap Holdings LLC and MicroCapClub LLC (collectively, “we” or “our”) are not licensed brokers nor registered investment advisors. We, our partners, contractors, members, subscribers, guests, or affiliates may or may not hold positions in one or more of the securities mentioned in this presentation and may trade in such securities at any time. We may have received cash compensation from one or more participants for presenting at past, present, or future events. We recommend you consult a licensed investment adviser, broker, or legal counsel before purchasing or selling any securities referenced in this presentation.

In this episode of the Planet MicroCap Podcast, I’m joined by Andrew Pogue, Founder of the Underlying Value Substack, to break down his differentiated approach to microcap investing that blends deep fundamental work with an operator’s mindset and the use of AI. Andrew walks us through how he evaluates businesses with a sharp focus on management quality and capital allocation, why he sees massive opportunity outside the U.S. in the Nordics, South Africa, Canada and Australia, and how he leverages AI as a high-powered research assistant to uncover overlooked ideas globally.

We also dive into his disciplined approach to position sizing, identifying real catalysts, spotting red flags like “consulting-speak,” and why the ability to talk yourself out of an investment may be one of the most important skills for long-term success in microcaps. We mention several companies and sectors during this conversation, and I’m not a shareholder in any of them.

For more information about the Underlying Value Substack, please visit: https://underlyingvalue.substack.com/

Chapters:

00:00 Diving into Micro Cap Investments
02:50 Understanding the Micro Cap Ecosystem
05:35 Investment Discovery Process
08:44 Catalysts for Investment Opportunities
11:37 Exploring International Markets: Focus on South Africa
16:45 Exploring South Africa's Investment Landscape
17:58 Navigating Investor Psychology and Promotional Cycles
20:28 Understanding Value and Catalysts in Investing
23:28 Lessons from Microcap Investing Experiences
26:41 Evaluating Management and Company Insights
30:41 Strategies for Selling and Position Management
35:14 Key Lessons from Business Ownership
37:58 Advice for New Investors in Microcaps

Planet Microcap hosts the highest quality in-person microcap events in North America. The mission is to bring the best microcap investors, companies, and allocators together to gather, connect, and grow.; visit https://planetmicrocap.com/ to learn more about our Las Vegas and Toronto events.

This presentation is for informational purposes only and should not be construed as a recommendation to purchase or sell any security referenced herein. Planet MicroCap Holdings LLC and MicroCapClub LLC (collectively, “we” or “our”) are not licensed brokers nor registered investment advisors. We, our partners, contractors, members, subscribers, guests, or affiliates may or may not hold positions in one or more of the securities mentioned in this presentation and may trade in such securities at any time. We may have received cash compensation from one or more participants for presenting at past, present, or future events. We recommend you consult a licensed investment adviser, broker, or legal counsel before purchasing or selling any securities referenced in this presentation.

In this episode of the Planet MicroCap Podcast, I spoke with John Petrides, Portfolio Manager at Tocqueville Asset Management. We take a step back and examine the broader market landscape—from record concentration in mega-cap tech to the evolving AI investment thesis and the growing geopolitical and fiscal risks shaping today’s capital markets. We discuss why the S&P 500’s historic concentration may be creating hidden risks for passive investors, how the AI story is shifting from infrastructure providers to real-world adopters across industries, and why geopolitical flashpoints like Taiwan could represent the market’s most significant systemic risk.

We also explore the implications of rising U.S. deficits and higher interest rates for fixed income investors, and why the growing valuation gap between large-cap tech and the rest of the market may be setting the stage for renewed opportunity in small and micro-cap stocks—particularly those with strong balance sheets and exposure to hard assets like energy and critical minerals. We mention several companies and sectors during this conversation, and I’m not a shareholder in any of them.

For more information about Tocqueville Asset Management, please visit: https://tocqueville.com/

Chapters:

00:00 Introduction and Market Landscape Overview
01:00 Market Surprises Since Spring 2023
02:09 Impact of AI Spending and Geopolitical Risks
03:10 Market Concentration and Sector Valuations
04:07 Opportunities in Healthcare and Small Caps
05:08 Portfolio Construction Amid Macro Uncertainty
06:05 International Diversification and Valuation Dispersion
07:02 Market Narrative Cycles and Signal Filtering
07:59 Long-Term Investing Principles and Market History
09:03 Market Structure and Price Discovery Risks
10:07 Key Market Mispricings and Sector Disconnects
11:06 Government Involvement and Sector Evaluation
12:04 Opportunities in Undervalued Sectors and Small Caps
13:02 Discipline and Focus in Rapid Information Environments
13:56 Fundamental Signals for Microcap Investment
15:07 Institutional Ownership and Market Movements
16:05 Impact of Government Actions on Market Sectors
17:04 Risks in Geopolitics and Long-Term Bonds
18:00 Microcap Market Inefficiencies and Opportunities
18:59 Market Disconnects and Investor Attention
19:57 AI Spending and Geopolitical Risks Revisited
20:53 Valuation Opportunities in Low-Margin Businesses
21:54 Underappreciated Risks: Taiwan and Capital Flows
23:06 Macro Trends and CapEx Quality Concerns
24:04 Microchip Supply Chain and Geopolitical Tensions
25:02 Interest Rates, Deficits, and Fiscal Risks
26:03 Active Bond Strategies and Long-Term Risks
26:59 Underestimated Geopolitical and Market Risks
27:46 AI CapEx and Cost Structure Risks
29:05 Microcap Liquidity and Institutional Flows
30:06 Signals of Institutional Interest in Microcaps
31:03 Fundamental Analysis for Microcap Selection
31:59 Emerging Themes in Microcap Space
32:49 Building Resilient Portfolios in Volatile Markets
34:10 Sector Opportunities in Rare Earths and Energy
34:52 Market Discipline and Investor Focus
35:52 Staying True to Investment Principles
37:04 Lessons from Market Crises and Capital Preservation
38:04 Aligning Portfolio with Investor Goals
39:00 Key Principles for Navigating Market Uncertainty
40:05 Final Thoughts and Contact Information

Planet Microcap hosts the highest quality in-person microcap events in North America. The mission is to bring the best microcap investors, companies, and allocators together to gather, connect, and grow.; visit https://planetmicrocap.com/ to learn more about our Las Vegas and Toronto events.

The purpose of this conversation is for informational and educational purposes only and should not be construed as a recommendation to purchase or sell any security. Planet MicroCap Holdings LLC and MicroCapClub LLC are not registered investment advisors. Planet MicroCap Holdings LLC, MicroCapClub LLC, its partners, contractors, members, subscribers, guests, and affiliates may or may not hold positions in one or more of the securities mentioned on this program and may trade in such securities at any time. Do your own due diligence and seek counsel from a registered investment advisor before trading in any security.

In this episode of the Planet MicroCap Podcast, I’m joined by Artem Fokin, Founder and Portfolio Manager of Caro-Kann Capital, to reflect on more than a decade of running a concentrated small- and micro-cap strategy focused on finding multibagger opportunities. Artem shares how his bottoms-up approach centers on deeply understanding a handful of businesses, engaging thoughtfully with management teams while maintaining the discipline to stay objective—what he calls being “friendly, but not friends.”

We also discuss why due diligence should extend beyond the CEO to the entire leadership bench, why microcaps remain one of the best training grounds for investors despite structural market changes, and how avoiding intellectual rigidity—while embracing tools like AI for research—can help investors continuously adapt and improve their decision-making. We mention several companies and sectors during this conversation, and I’m not a shareholder in any of them.

For more information about Caro-Kann Capital, please visit: https://caro-kann-capital.com/

Chapters:

00:00 Introduction and Background
03:06 Investment Philosophy and Strategy
06:19 Engaging with Management Teams
09:06 Reflections on 2025
12:09 Building Relationships with Management
14:04 Best Practices for Engaging Management
16:58 Evaluating Management Teams
17:59 Diligence and Fair Game Questions
24:26 Leveraging LinkedIn for Management Insights
25:43 Understanding Investment Edge
31:11 The Importance of Execution in Investing
32:31 The Value of Microcaps in Investment Training
40:07 Fears of Intellectual Rigidity in Investing
46:53 Lessons Learned Over 11 Years
48:45 Looking Ahead: The Future of Investing

Planet Microcap hosts the highest quality in-person microcap events in North America. The mission is to bring the best microcap investors, companies, and allocators together to gather, connect, and grow.; visit https://planetmicrocap.com/ to learn more about our Las Vegas and Toronto events.

The purpose of this conversation is for informational and educational purposes only and should not be construed as a recommendation to purchase or sell any security. Planet MicroCap Holdings LLC and MicroCapClub LLC are not registered investment advisors. Planet MicroCap Holdings LLC, MicroCapClub LLC, its partners, contractors, members, subscribers, guests, and affiliates may or may not hold positions in one or more of the securities mentioned on this program and may trade in such securities at any time. Do your own due diligence and seek counsel from a registered investment advisor before trading in any security.

In this episode of the Planet MicroCap Podcast, I’m joined by Jim Zimmerman, Founder & Fund Manager, and Abby Zimmerman, Research Analyst, of Lowell Capital Management to talk about their disciplined small-cap strategy built around what they call the “Fort Knox” balance sheet. At its core, it’s about owning resilient, cash-generative businesses with little to no debt—companies that can not only survive volatility but use it to their advantage.

We dive into why they focus on operating cash flow over EBITDA, how they hunt for overlooked “boring” niche leaders trading at value prices, what they look for in management teams, and why constant re-underwriting—“buy and homework,” not just buy and hold—is critical to long-term compounding in microcaps. We mention several companies and sectors during this conversation, and I’m not a shareholder in any of them.

For more information about Lowell Capital Management, please visit: https://www.lowellcapitalmgmt.com/ 

Chapters:

00:00 Introduction to Lowell Capital Management
04:45 Jim Zimmerman's Investment Journey
09:52 Abby Zimmerman's Perspective on Investing
14:54 Core Investment Philosophy and Strategy
19:39 Engaging with Management and Assessing Companies
22:42 Evaluating Company Fundamentals
26:51 Avoiding Value Traps
29:37 Idea Generation and Networking
33:49 Learning from Investment Experiences
39:38 Evolving Investment Strategies

Planet Microcap hosts the highest quality in-person microcap events in North America. The mission is to bring the best microcap investors, companies, and allocators together to gather, connect, and grow.; visit https://planetmicrocap.com/ to learn more about our Las Vegas and Toronto events.

The purpose of this conversation is for informational and educational purposes only and should not be construed as a recommendation to purchase or sell any security. Planet MicroCap Holdings LLC and MicroCapClub LLC are not registered investment advisors. Planet MicroCap Holdings LLC, MicroCapClub LLC, its partners, contractors, members, subscribers, guests, and affiliates may or may not hold positions in one or more of the securities mentioned on this program and may trade in such securities at any time. Do your own due diligence and seek counsel from a registered investment advisor before trading in any security.