In his latest Forbes column, newsletter guru Jim Oberweis says small-cap stocks are primed for a strong run.

“Ironically the best time to buy small caps is when investors are shunning them — typically at the tail end of difficult recessions,” Oberweis writes. “Interest rates have no place to go but up, and I believe that nimble small-cap companies will benefit as a bond bear market drives investors back into equities.”

Oberweis says that because of human psychology, investors tend to vastly under or overestimate risk. “In extreme situations we tend to dramatically overweight recent experiences and end up with very biased risk assessments,” he says. That creates opportunities in the market. “This is especially true, in my experience, toward the end of recessions,” Oberweis says. “That’s when risk aversion remains high, valuations remain low, but business conditions are beginning to improve. That’s the scene investors live in currently.”

Oberweis details how small-cap stocks have excelled coming out of several past recessions, and he offers four small-cap picks he’s high on.