With its mixed track record, investing in AIM has recently been considered the territory of a madman, but can investors find value stocks despite recent poor performance?
If indices are anything to go by the Alternative Investment market (AIM) is a complete dead loss. The FTSE AIM index has fallen by around 32% in the period from launch on 1 January 1996 to July 2010. Even the ‘blue chip’ FTSE 100 index has managed a 44% gain over that period, while the RBS Hoare Govett Smaller Companies Index (HG) is up a more impressive 120%. Ostensibly the HG and the AIM indices cover similar smaller companies: they are both exposed to growth markets; they both include companies in early stages of their development; and both have traditionally been fertile grounds ...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
