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Market Comment - April 22

April 2022

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

There has been a bit of a bounce in smaller companies, in the UK and globally, making up a bit of the downturn since last Autumn. It is too early to say if this is meaningful. Nonetheless, there are other positives. The one which most of you might have spotted is bid activity continuing, highlighting how cheap some small caps are. For example, Menzies’ bid at 608p is a 92% premium on our 2022 New Year recommendation in January at 317p. At a macro level, the decision of Russia to re-focus its invasion on the east and south of Ukraine does reduce the risk of much more painful sanctions being introduced by the EU, and particularly agreed to by a reluctant Germany. Such new sanctions would mean not buying Russian oil and gas, cutting ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

All material on this website is protected by copyright. You may use Information retrieved from the www.scsw.co.uk website for your own personal non-commercial use which means that you may not sell or copy this information to any third party without prior written consent. ISSN 1358-183X

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