Finding value amongst small-cap LICs

Peter Rae

Independent Investment Research

Small-cap shares have underperformed the broader market over the past 12 months and, on some metrics, the sector appears reasonable value. However, investing in small-caps can be a riskier proposition and in recent weeks a number of small-cap company share prices have been hit hard by revenue and earnings downgrades. This points to the importance of strong research and a well-diversified portfolio. Listed investment companies provide an opportunity for investors to build a well-diversified, professionally managed portfolio of small-caps, although many of the small-cap LICs are trading at significant premiums to pre-tax NTA. In its latest monthly LMI Update Independent Investment Research looks at an alternative option for small-cap investors. We profile a LIC that invests in a portfolio of both small and mid-cap stocks and also offers investors an above market yield. Read the report for full details.


Peter Rae
Independent Investment Research

Peter has 35 years’ experience in the banking and finance industry, including 15 years as an equities analyst. Peter was a sector head in the equities research team at Morningstar with a focus on consumer and industrial companies.

I would like to

Only to be used for sending genuine email enquiries to the Contributor. Livewire Markets Pty Ltd reserves its right to take any legal or other appropriate action in relation to misuse of this service.

Personal Information Collection Statement
Your personal information will be passed to the Contributor and/or its authorised service provider to assist the Contributor to contact you about your investment enquiry. They are required not to use your information for any other purpose. Our privacy policy explains how we store personal information and how you may access, correct or complain about the handling of personal information.