R&M trust remains at large discount one year on from Rodrigs' departure

Above average discount

The River & Mercantile UK Micro Cap Investment Company remains at an above-average discount one year on from the shock exit of former manager Philip Rodrigs, although the trust has outperformed its index and peer group under new manager George Ensor.

The £76.87m trust, which invests in a diversified portfolio of UK micro-cap companies and has traded at a premium to most of the UK-listed small cap sector for the majority of its existence, is currently on a 12% discount. This compares to the rest of the UK-listed small-cap sector, which is on an average discount of 8%, according to investment firm Killik & Co. The shares sold off markedly following the announcement of the lead manager's departure in February last year, due to an investigation into professional conduct issues, and the share price has remained at a discount.  In Ma...