Britain is ON SALE
Melwin Mehta
? Fund Manager ??Financial Education ???????? Family Office Architect ?? Always Cheering Financial Advisers ?? Bees ?? plays to ??????
But not for long as valuations will come good, patience is key.
Investing in equities takes patience – short term traders can make gains (and of course losses they won't talk about) but the real rewards come to those who play the long game. More about “real” long term later.
UK equities have suffered net outflows for over 2 years now. So, when will the tide turn? High inflation, recession concerns, rising interest rates have contributed their fuel to the fire.
While we don’t have a crystal ball, we firmly believe that UK small to mid-cap equities provide plenty of opportunities for those prepared to do the work. In recent weeks we have seen bidders circling for value, with cash rich private equity firms particularly active right now. They are prepared to take a longer-term view.
#Parcel carrier DX Group is in talks with private equity giant HIG European Capital
#Cake maker FinsburyFood has accepted a ￡143m bid from DBAY Advisors
#Osirium Technologies has succumbed to an offer (at a 96% premium) from Sailpoint (owned by Thoma Bravo
Macquarie has made a highly conditional non-binding proposal to acquire Renewi.
A special shout out to the Board of Directors, led by Chairman Bernardus Verwaayen and thoughtful CEO Otto De Bont for rejecting the offer and showing some self-belief. We need such strong management teams who can withstand these short term chocolate temptations.?
We are not interested in 30% bid premiums by private equity. Thanks but no thanks.
领英推荐
Our Fund has invested companies since 1963. We want to, and we will continue to invest in good businesses run by management teams we trust and admire.
We are keen for the London listed ecosystem to be live and thriving – 60 years from now when our Fund will be 120 ! ?
A tree takes time to yield fruits.
Similarly, valuations and re-ratings take time, one needs to be patient. A LOT OF PATIENCE. We know. Ask us.?
Think about us when you think “real” long term.
Investors in the YFS Sterling Select Companies Fund (formerly known as The MI Discretionary Unit Fund) have turned ￡1,000 (at launch in 1963) into ￡600,000 and more -- after all costs and fees. Those returns have NOT come in a straight line – nor will our performance come without ups and downs. Our intention is we trend in the north-east direction.
We live in Britain, we invest in Britain and we love Britain. So please be well aware -- our views are biased.
Marketing Specialist | Content/Product Marketing | Growth Hacking | Marketing AI Prompt Engineering | PR
12 个月Blair Carey, CFA
The focus on achieving a 15% compounded return demonstrates a strategic, long-term investment philosophy that values the steady growth of British companies over the volatility of private equity. This ethos of prioritizing sustainable growth and market stability is precisely what we'll explore at the 166th G.I.L.C. Summit. The event promises to dive into strategies for nurturing a thriving and expansive market. For those committed to impactful investing, the summit offers a platform to discuss and shape the future of investment. Join us to contribute to a sustainable investment landscape, register at: https://www.dhirubhai.net/feed/update/urn:li:activity:7163193662082953216
Well done Melwin, I think everyone agrees that the current trend of Private Equity swoops on AIM companies just offering 25-30% premiums over the current, usually low, share price is highly opportunistic and should be rebuffed. Chris
Director at Fundamental Asset Management
1 年Well done Melwin, "We are not interested in 30% bid premiums by private equity" is music to my ears. Unfortunately, many of the UK's so-called leading institutional investors appear to be thinking differently. Having entered the small cap arena in the hope of capturing multi-baggers they are now bizzarrely tempted by 30% premiums, at best! In the meantime, having pocketed some low-ball cash, the number of decent UK-listed opportunities in which to redeploy this cash is declining fast. The UK market is clearly not being helped by this evident lack ambition. Chris
? Fund Manager ??Financial Education ???????? Family Office Architect ?? Always Cheering Financial Advisers ?? Bees ?? plays to ??????
1 年What do you think ? Please share your thoughts, positive or negative. Sterling Investment Management believes in the GREAT n BRITAIN.