Trusts in the AIC UK Smaller Companies sector have de-rated significantly. Discounts have widened dramatically this year, having been pushed to a historic narrow point by the ‘Boris bounce’ at the end of last year. On an average discount of 12%, discounts in the sector are now wider than the 10 year weighted average discount of 11.5%. Within this average, there are some significant outliers. We look at the prospects for smaller company returns, as well as highlight those trusts exposed to them which are on wide discounts.

14 Sep 2020
Five small cap trusts on very wide discounts

Sign up for free to access
Get access to the latest equity research in real-time from 12 commissioned providers.
Get access to the latest equity research in real-time from 12 commissioned providers.
Five small cap trusts on very wide discounts
Blackrock Smaller Companies Trust PLC (BRSC:LON), 0 | Invesco Perpetual UK Smaller Companies Investment Trust PLC (IPU:LON), 415 | Aberforth Smaller Companies Trust PLC (ASL:LON), 0 | Downing Strategic Micro-Cap Investment Trust PLC GBP (DSM:LON), 0
- Published:
14 Sep 2020 -
Author:
William Heathcoat Amory -
Pages:
5 -
Trusts in the AIC UK Smaller Companies sector have de-rated significantly. Discounts have widened dramatically this year, having been pushed to a historic narrow point by the ‘Boris bounce’ at the end of last year. On an average discount of 12%, discounts in the sector are now wider than the 10 year weighted average discount of 11.5%. Within this average, there are some significant outliers. We look at the prospects for smaller company returns, as well as highlight those trusts exposed to them which are on wide discounts.