CrackAddick wrote:Looks like AMATI don't think the AIM market is going to recover anytime soon. So they might be going the hybrid route, a bit like Baronsmead/Seneca.
Although "a broader range of securities", could mean many things, especially if they are none qualifying investments.
https://data.fca.org.uk/artefacts/NSM/RNS/5103966.htmlAs part of this review, the Board intends to consider whether the Company's investment strategy should be expanded to facilitate investment in a broader range of securities
They are certainly in a sticky spot. On looking at the 5 year total return graph (from Hargreaves Lansdown) the 5 year total return is -9%, however looking back to October 21 on the graph, it peaked at +80%. Its not just a feature of Amati. Looking at Octopus AIM VCT on the same graph - it peaked around +60% in October 21, but its 5 year total return was -11%. And looking at the AIM 100 and AIM Allshares on the same graph, their 5 year total returns were -19% and -11% - and they peaked around +40% and +45% in October 21.
In complete contrast, British Smaller Cos VCT where
The majority of the Company’s investments are in small, unquoted companies
have a 5 year total return is +72%. So unless there is a remarkable turn-around in the AIM markets, it would appear that a "broader range of securities" may be a wiser choice.