Investors who see small caps as a trade war safe haven will likely get burned, BofA warns

As investors try to cope with the ongoing U.S.-China trade war, BofA-Merrill Lynch is telling investors to resist the temptation to invest in small cap stocks. Jill Carey Hall, the firm's small cap expert, warns the widely held perception they're insulated from the effects is ill-conceived — adding fundamentals in the space remain challenged. "Small cap earnings have been coming in in-line with expectations.