Giles Hargreave on 20 years of AIM successes and failures

Twenty years of successes and failures for the junior market

As AIM approaches its 20th anniversary, Giles Hargreave, co-manager of the Marlborough UK Micro-Cap Growth fund, describes the opportunities and pitfalls the junior market has presented for investors.

Since AIM was launched in June 1995, more than 3,500 companies have listed on it to raise equity capital. The junior market is currently home to around 1,100 companies, attracted by a regulatory framework less prescriptive, and less costly, than the main market. These are young, dynamic businesses – many of them highly innovative – and their sheer number means new opportunities are constantly presenting themselves for investors. There have been negative headlines, of course, such as the saga of insurance outsourcer Quindell, which saw its share price plummet after a report from US-ba...