Short interest on the 1,303 stocks traded on the exchange's small capitalization market climbed 3.6 percent, to 42.9 million shares.

The Berger funds tend to hold companies with very large or very small capitalizations.

The most growth potential appears to be in companies with smaller capitalizations, several analysts said.

Short interest on the 1,318 stocks traded on the exchange's small capitalization market climbed 3.13 percent, to 41.5 million shares.

"I'm putting new money into secondary, or smaller capitalization, stocks," he said.

It concentrates on companies with small and medium capitalization, and plans to hedge all currency risks.

"An astute investment may be an equity fund that appreciates," he said, like a small capitalization or growth fund.

Also it has a relatively small capitalization, with 17.4 million shares outstanding, so any demand for the stock can push up its price.

That was a lofty amount given the company's small capitalization, which even now stands at less than $200 million.

"I buy companies that are changing because of innovative uses of technology" and have smaller capitalizations, he said.