The Group also communicates well enough in the matter

15! It is the premium now appear the small cap to large values. While this universe usually deals with a valuation haircut of 20, this figure demonstrates the attractiveness of the market for these values is not weakening. Philip Dicken, Manager of small and medium-sized values in Threadneedle Investments in London, is nevertheless satisfied by this asset class. "Constraints are most numerous on the small and medium capitalization," recognizes. This premium is, even if it appears to me not unjustified in view of the growth differential. He must also deal with important movements of flow that translate by violent corrections to the slightest disappointment. Nevertheless this universe is always full of opportunities for little that you discover beautiful societies until the market does in steals.

Despite a volatile environment, Philip Dicken has therefore not hesitate to participate in the launch of a new Fund, called Threadneedle Pan European Smaller Companies. Designed in part to investors on the "Continent", it integrates with small and medium capitalization British, managed until then by other teams. "The objective was also to have a flexible budget, he said." Assets of our Fund of small and medium-sized European values excluding the United Kingdom have made strong progress which, for reasons of liquidity, points more and more to average capitalization. So far, the Fund does not present these constraints and allows me the freedom to choose without minimum capitalization size values.

Among its top ten lines, this training engineer holds three industrial: Sulzer, an industrial conglomerate (pumps, coating machines, fuel cells), Aker Kvaerner, a diversified industrial group (services oil) and Charter (welding equipment). "These three companies have in common to have a know-how which erects a barrier to their market entry and generate regular and solid results." Aker Kvaerner is sustainable supported by the resumption of energy investments while Charter equipment are particularly used in the shipyards, a sector in full expansion.

This reasoning also applies to LEM Holding, a company of niche expertise recognized in instruments for measuring the electrical, applicable to the automotive, industry, or automation. Similarly, K S, the producer of potasses, exercises in a trade in full expansion and high barriers to entry both natural reserves are limited. "The German group is much better ready to take advantage of the strong growth in demand that he releases high risk-taking that give it the means to enhance its capabilities via acquisitions."

This manager who built his portfolio in a logic of "stock picking" (the selection of values on a case by case) has also chosen Kensington, a mortgage company specializing on professional and independent as well as a customer with a bad credit rate.

It also distinguished Italease, a group of hire purchase, ranging from automotive, boats and industrial equipment. Created by a consortium of mutual banks, it is Banco Popolare among its principal shareholders, which provides a network for distribution of its services. "For a few months, the introductions on the stock exchange are often widely sur-souscrites." This title I accompanied already in the previous Fund I managed yet done an entry in discrete stocks. The growth assumptions announced at placement had failed to capture the attention of investors. "They had seemed to me too low and have since been revised upwards," traces the Manager.

Always on a case by case, Philip Dicken retained Acta, a company of real estate investment is growing rapidly with the growth of the Norway. Conversely, it selects Ballast Nedam, a construction group which was penalized by the economic stagnation in the Netherlands but should take advantage of the rally.

Finally among the ten main lines of the portfolio, Philip Dicken is positioned on Alten. "This software successfully adjust costs in the lower cycle, recalls." With recovery, it should again increase the prices of the benefits of its engineers, which provides a lever on its margins. The Group also communicates well enough in the matter. It is illustrated in particular by its ability to announce credible targets on which he can beat the expectations of the market.