Donate to Remove ads

Got a credit card? use our Credit Card & Finance Calculators

Thanks to johnstevens77,Bhoddhisatva,scotia,Anonymous,Cornytiv34, for Donating to support the site

Which fund for Micro Caps?

Stocks and Shares ISA , Choosing funds for ISA's, risk factors for funds etc
Investment strategy discussions not dealt with elsewhere.
Shaker
Posts: 44
Joined: February 17th, 2020, 12:17 am
Has thanked: 20 times
Been thanked: 10 times

Which fund for Micro Caps?

#434241

Postby Shaker » August 12th, 2021, 1:43 am

Which fund for Micro Cap exposure?

flyer61
Lemon Slice
Posts: 575
Joined: November 11th, 2016, 12:53 pm
Has thanked: 130 times
Been thanked: 208 times

Re: Which fund for Micro Caps?

#434267

Postby flyer61 » August 12th, 2021, 9:13 am

Why not consider a VCT? You will certainly get exposure to 'micro caps'.

https://www.wealthclub.co.uk/

yieldhog
Lemon Slice
Posts: 277
Joined: November 25th, 2016, 7:53 pm
Has thanked: 116 times
Been thanked: 64 times

Re: Which fund for Micro Caps?

#434269

Postby yieldhog » August 12th, 2021, 9:21 am

For example: BVT

Y

Disclosure: I own some.

shawsdale
Lemon Pip
Posts: 54
Joined: June 3rd, 2017, 7:08 am
Been thanked: 55 times

Re: Which fund for Micro Caps?

#434347

Postby shawsdale » August 12th, 2021, 1:31 pm

At the risk of repeating points made on a recent "Regional Smaller Companies" thread:
- There are sound liquidity-related reasons for preferring a closed-end investment vehicle in the micro cap domain.
For UK micro caps the best-performing in the last few years is the River and Mercantile UK Micro Cap trust (RMMC). There is also the Miton UK Micro Cap trust (MINI).

- There are several open-ended UK Micro cap funds, such as those managed by Octopus, Liontrust and Marlborough.

- It would be interesting if anyone knows of a Global Micro Cap fund/trust that is widely available to UK-based retail investors.
The likes of Grandeur Peak Global Micro Cap do not seem readily accessible.

- Edinburgh Worldwide (EWI) is multi-cap, for instance holding 4.4% in Tesla as of 30th June 2021, and Smithson (SSON) together with the open-ended Global Smaller Companies funds (like those run by the company formerly known as Aberdeen Standard and Liontrust) and seem more mid cap and small cap than specifically micro cap.

As well as Venture Capital Trusts, pre-IPO companies as accessed by the Chrysalis trust (CHRY) could be worth some research.

AWOL
Lemon Slice
Posts: 563
Joined: October 20th, 2020, 5:08 pm
Has thanked: 366 times
Been thanked: 277 times

Re: Which fund for Micro Caps?

#434414

Postby AWOL » August 12th, 2021, 6:34 pm

flyer61 wrote:Why not consider a VCT? You will certainly get exposure to 'micro caps'.

https://www.wealthclub.co.uk/


With charges ranging from 2-8% VCTs make RMMTs ongoing charge of 2.55% look competitive (in both cases performance fees are big contributors). Whilst performance charges are something that I can reluctantly accept I think it's a good idea for investors to look very hard at charges and consider if in a low return environment they can afford to give up so much.

Shaker
Posts: 44
Joined: February 17th, 2020, 12:17 am
Has thanked: 20 times
Been thanked: 10 times

Re: Which fund for Micro Caps?

#434472

Postby Shaker » August 13th, 2021, 1:43 am

flyer61 wrote:Why not consider a VCT? You will certainly get exposure to 'micro caps'.

https://www.wealthclub.co.uk/


VCT charges put me off. Really hideous on some of them. Much prefer OEIC or IT, or even ETF.

Spet0789
Lemon Quarter
Posts: 1913
Joined: June 21st, 2017, 12:02 am
Has thanked: 242 times
Been thanked: 952 times

Re: Which fund for Micro Caps?

#434473

Postby Spet0789 » August 13th, 2021, 7:03 am

Shaker wrote:
flyer61 wrote:Why not consider a VCT? You will certainly get exposure to 'micro caps'.

https://www.wealthclub.co.uk/


VCT charges put me off. Really hideous on some of them. Much prefer OEIC or IT, or even ETF.


I agree with you on the charges but if you can claim the tax relief, that pays them for 10 years or so!


Return to “Investment Strategies”

Who is online

Users browsing this forum: No registered users and 7 guests