Ankle Biter

In finance, the term “ankle biter” is used to denote a stock with a low market capitalization. Low or undervalued companies are often more resilient to fluctuations in financial markets because their market capitalization has not been as heavily inflated as that of companies with high market capitalization.

The term originally referred to a small but aggressive dog. Outside of finance, “ankle biter” is normally used playfully to refer to young children.

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Editor Daniel Dreier
Daniel Dreier is editor and personal finance expert at moneyland.ch.