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Market Comment - March '26

March 2026

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 are two big issues for our readers. The first is the early stage of a recovery in UK smaller companies. The second is the equally early stage of artificial intelligence, or AI, and that is today’s focus. Over the past month, AI has taken another big step forward, hitting share prices in certain types of service companies round the world, including some UK small caps. The main advances came from Anthropic and OpenAI. Space is limited, so there is no need to go into the technical detail. What matters is the effect. These new tools made it much clearer that AI is getting better, very quickly, at doing many office-based tasks. That includes basic legal drafting, routine marketing, customer support, data analysis, report writing, ...

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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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