Are small caps a better bet than private equity?

9th August 2019

Investors have ditched ‘unloved’ smaller companies for private equity or bond proxies.

High profile fund managers and buyers have questioned why some multi-asset funds have up to 20% in private equity in order to diversify portfolios when better value appears to exist at the bottom end of public markets.

Speaking at a recent Merian Global Investors media event, BMO Gam co-head of multi-manager Gary Potter said investors should look at the quantity of private, less liquid assets they have in a portfolio because some private equity investors are fishing in the bottom end of the public markets where there is better value in terms of stock prices.

Read the full article on Portfolio Adviser