Micro-cap stocks should be viewed as an 'alternative to alternatives' because of their low correlation to other equity asset classes, said Machel Allen, CIO of Metis Global Partners. Allen added that global micro-cap stocks have a long-term correlation to the S&P approximately in the same range as private equity or hedge funds, yet with much lower fees. Allen also said that the global micro-cap sector is undertapped because of the common misconceptions about the asset class. She said the largest misconception is that micro-caps are growth-like startups, when in fact many of them are thriving companies with more than 30 years of operation and even dividends.