Contrarian investing is always difficult because, by definition, it requires swimming against the tide, which can be uncomfortable and tiring. While it’s certainly not for everyone, it is often where the best value and opportunity is to be found. Small-cap companies in Australia and the US may well be offering that opportunity right now.

Since the Australian share market peaked in August 2021, the Small Ordinaries index has copped a much harder beating than its large-cap peers (falling by more than 20 per cent over the market correction) while the S&P/ASX 100, made up of the 100 largest companies on the Australian stock exchange, has dropped by only 5 per cent.